Creditors file over S$198m in claims against troubled Qoo10, but only S$34,650 recovered.

Qoo10’s Liquation: Struggle to Recover Debts

Over S$198 Million in Claims, but Only S$34,650 Recovered

Singapore – The liquidator of beleaguered online marketplace Qoo10 has received over S$198 million in claims from creditors, but only S$34,650 has been recovered so far, according to minutes of the latest creditors’ meeting seen by The Straits Times.

Breakdown of Recovered Funds

Of the sum recovered, S$20,000 was from Qoo10’s 11 bank accounts with DBS Bank, S$14,150 was from rental deposits held by landlords of employees, and S$500 came from the disposal of office furniture and IT equipment.

Qoo10’s Financial Situation

Qoo10’s founder and chief executive Ku Young-bae submitted information to the liquidator, AAG Corporate Advisory, stating that the company’s total assets are valued at S$685.6 million. However, the bulk of that comes from Qoo10’s three e-commerce platforms – Tmon, WeMakePrice, and Interpark Commerce – which are now under corporate restructuring in the Seoul Bankruptcy Court after failing to make payments to the platforms’ merchants since 2024.

Unsecured Creditors’ Claims

According to the minutes of the Jan 17 meeting, Abuthahir Abdul Gafoor of AAG Corporate Advisory told creditors that S$11.3 million in trade and other receivables included debt owed to Qoo10 by Tmon, WeMakePrice, and Clues Network, an Indian company operating an e-commerce platform called ShopClues.

Qoo10’s Shares in Qxpress

Another asset, Qoo10’s shares in its former logistics arm Qxpress that had a face value of S$12.1 million, had been transferred out, according to the minutes.

Liquidation Process

The liquidator is liaising with DBS to recover a fixed deposit of S$380,000 and S$715,000 held by payment gateway providers Worldpay and PayPal.

Recovery of S$685.6 Million "Highly Dubious"

A source close to the matter told ST that the recovery of S$685.6 million is "highly doubtful" as Tmon, WeMakePrice, and Interpark are undergoing restructuring, or the investment has already been transferred out of Qoo10 or is unaccounted for.

Conclusions and Next Steps

The liquidator will decide on the validity of debt claims and if they should be paid at a later stage, "subject to availability of funds for any dividend distribution." The liquidation process is ongoing, with efforts to gather relevant information and realize the company’s assets.

FAQs

Q: What is the total amount of claims received by the liquidator from creditors?
A: Over S$198 million

Q: What is the total amount recovered by the liquidator so far?
A: S$34,650

Q: What are the biggest chunks of recovered funds coming from?
A: S$20,000 from bank accounts, S$14,150 from rental deposits, and S$500 from disposal of office furniture and IT equipment

Q: What is the current financial situation of Qoo10?
A: The company’s total assets are valued at S$685.6 million, but the bulk of that comes from its three e-commerce platforms, which are now under restructuring.

Q: How many unsecured creditors are there?
A: 319

Q: What is the total amount of unsecured creditors’ claims?
A: S$197.9 million