The Food Retailer Operations Ltd was formerly part of the Co-op Group and operated over 500 Co-op stores. In October 2015 497 stores were transferred to another Co-op Group company for £497million. The Co-op used £15million to repay a debt to another Co-op Company and paid £446million to itself to reduce its investment in the Company. As a result the Company cannot now pay its creditors and is proposing a company voluntary arrangement at a creditors meeting on 27 January in London.
Disgruntled creditors are being assisted by Turner Parkinson solicitors and Griffins Insolvency Practitioners.