Farmers Left Unpaid as Anglesey-Based Mona Dairy Goes into Administration, Owing Millions

The administrators revealed that the company, which had been supplied by dairy farmers across North Wales and England, owes a total of £37.1 million to more than 200 potential creditors. Of this amount, unsecured creditors, including farmers, agricultural societies, and levy boards, account for £29 million.

Mona Dairy had invested over £20 million in the construction of its site, with a £3 million grant fr om the Welsh government. However, despite these investments, the company ceased trading, leaving 48 employees, 40 of whom were made redundant, without pay and owed £42,000 in holiday pay, overtime, and unpaid pension payments.

The company’s structure included three entities: Different Dairy, the parent company; Mona Island Dairy, wh ere operations took place; and Wynne-Finch Farms, which covered property. The administrators noted that secured debt from Dairy Investments and Klooster, amounting to £6.78 million and £1.062 million respectively, further complicated the financial situation.

In April, properties were transferred outside the group to a separate company owned by one of the directors, Roelf Jan Akkerman. This move, followed by the company's failure to secure short-term funding, led to mounting creditor pressure, particularly from local farmers, and ultimately resulted in the business being unable to pay for milk supplies.

The joint administrators are currently reviewing the transfer of properties and seeking to sell the facility as a whole to achieve the best outcome for all creditors. Discussions with interested parties are ongoing, and full details will be provided in future reports.