Ħamrun’s More Supermarket ran up debts of about €250,000 in unpaid rent, compounding a trail of millions of euros in arrears left behind by a man who has fled Malta.
The amount was accrued over a year of unpaid leases related to the outlet, sources told The Sunday Times of Malta.
Last Monday, Enemalta cut off the power supply to More Supermarket at Daniel’s shopping complex, dealing another blow to the chain’s financial situation.
The corporation had demanded €50,000 payment to keep the supermarket hooked to the electricity grid. The chain of supermarkets was formerly owned by Ryan Schembri and Etienne Cassar.
Mr Schembri left the island towards the end of September, owing tens of millions to investors and suppliers now scrambling to recover their losses.
Nearly a month later, there is still no indication of the whereabouts of Mr Schembri, who vanished with his wife and nine-year-old son.
Sources have told The Sunday Times of Malta that one Libyan investor is owed more than half the sum of Mr Schembri’s debts.
More Supermarkets was taken over by investors who were owed money but landed a chain ridden with debt.
The remaining owner presented a restructuring plan to creditors earlier in the week in which the outlets in Mosta and Żebbuġ would remain operational.
Meanwhile, Enemalta restored the electricity supply to the Żebbuġ outlet where power had also been cut off over unpaid bills.
There is still no indication of the whereabouts of Mr Schembri, who vanished with his wife and son
The other stores in Fgura, St Julian’s, Valletta and Ħamrun will be shut down.
The owners and operators of Daniel’s shopping complex are in no way connected to the past or present owners of the supermarket chain.
The complex’s owners told this newspaper that the sudden closure of the supermarket had its consequences on their operations but there are ongoing negotiations with three other supermarket chains that should be concluded in the next three weeks.
While Mr Schembri’s financial problems were piling up, he also entered into at least two promise of sale agreements for properties.
He had offered to buy one of them in Marsascala for €1.2 million, according to his business partner who remains in Malta.
Mr Cassar learnt about this deal two weeks ago when he was forced to pull himself out of the agreement his business partner made without his knowledge.
“The agreement was not subject to any bank loan, or a permit. It was not subject to anything.
“The agreement was that if Ryan wouldn’t manage the payment, he would lose the deposit.
“It made no sense,” Mr Cassar said, adding that the contract was signed when Mr Schembri already knew he was in trouble.
Asked whether he had any information on Mr Schembri’s whereabouts or whether his wife and child were safe, Mr Cassar said: “I have no idea whether he’s dead or alive.”
In addition to the supermarket chain, Mr Schembri was involved in the shipment of meat from Brazil to Libya, where he and Mr Cassar had opened a supermarket and distribution service that eventually lost millions of euros.