Hundreds of licensees hit by Smartbox collapse
Controversial Interactive TV service Smartbox has ceased trading leaving hundreds of licensees out of pocket and stuck with onerous three-year leases for equipment.
The idea behind Smartbox was to allow hosts to subsidise the cost of financing a big screen TV by taking a cut of costs from adverts played on the system.
However, as the Morning Advertiser exclusively revealed last month, the company owed licensees hundreds of pounds and had been bouncing cheques.
The equipment was provided by Vision Leisure Services, which has also ceased trading. It leaves licensees tied to three-year finance agreements with companies such as Lombard Direct and Haydock.
I am owed £1,600. I never realised it was two separate agreements. I now have to pay about ten times what the equipment is worth and will get nothing back.Sheila Nolan of the Rose and Crown Inn in Congleton, Chesire.
Sheila Nolan of the Rose and Crown Inn in Congleton, Chesire has a three year lease on her equipment with Lombard Direct.
She is supposed to be paid £50 a week from Smartbox and has to pay £203 a month for the equipment. "I am owed £1,600. I never realised it was two separate agreements. I now have to pay about ten times what the equipment is worth and will get nothing back. This is absolutely scandalous. It could mean a lot of small businesses go under. We are under a lot of pressure now."
A statement on the company's website reads:
"Smartbox (Vision) Ltd and Vision Leisure Services Ltd. Would like to utilise this opportunity to inform you that, as of Thursday 23rd November 2006 they have ceased trading.
Smartbox, a screen media agency for the licensed trade and Vision, a provider of Big Screen and Smartbox screen systems, regret the unfortunate situation.
If you require and further information please contactButcher Woods79 Caroline StreetBirminghamB3 1UPTelephone 0121 236 6001"
If you have a story about Smartbox ring the Morning Advertiser's Ewan Turney on 01293 610388.
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