Franchisees and customers owed millions of dollars by collapsed kitchen and laundry appliance franchise chain Kleenmaid are unlikely to see any return according to Deloittes, the administrator, which is acting for 14 separate entities in the Kleenmaid Group.

More than 150 creditors attended the first creditors meeting last week and joint administrator John Greig said It was made clear to all creditors that there is likely to be a significant shortfall between the realisable value of the Kleenmaid assets and the amount creditors are owed. Unfortunately at this stage we do not foresee that the available assets of the Kleenmaid Group will provide any return to unsecured creditors including customers. This will create significant distress and hardship for these customers as was evident at the meeting.

Franchisees Marlene and Merv Kennedy from Fortitude Valley have lost $1m in the collapse, according to the Sydney Morning Herald.

Initial figures suggest $76m is owed to creditors of the Kleenmaid Group; secured creditors, banks are owed $28m, there are 4,000 customer deposits valued at $27m; 2,800 trade creditors and suppliers are owed $16m; landlords and warehouse operators are owed $2m; and employees are $3m out of pocket.

A second creditors meeting will be held in May.