Tower Hotel says business declined dramatically
The Tower Hotel today explained its abrupt closure on May 24th and says it is making attempts to liquidate assets to pay outstanding amounts to its employees.
A release issued today by the hotel follows:
It is with regret that The Management of Hotel Tower Inc. wishes to inform the general public that the Hotel was forced to close its doors for business as of the 24th day of May 2014.
This decision was a last resort, especially given the number of employees that were likely to be affected.
In recent times, the Hotel has seen a dramatic decline in business and despite the best efforts of management; the hotel was still unable to meet certain financial obligations.
While the Hotel remained asset rich, there was insufficient liquid cash available to Management to finance the day to day operating expenses of the hotel.
Tower Hotel’s electricity supply was suspended by the Guyana Power and Light Inc. which forced Management to close their doors for business. Alternative arrangements were made for the guests who were staying in the hotel to facilitate the closure on such short notice.
Management wishes to express its gratitude to the employees of the hotel, who have all served loyally and with dedication throughout their employment. Management is aware that the employees have families and dependents to provide for and sincerely regrets any hardship caused by the decision to close the hotel.
Management did not have the liquid cash to cover the payroll and as a result employees’ salaries were not paid. Management wishes to express our sincerest and heartfelt thanks to all the dedicated workers who still showed up for work weeks after Management was unable to pay salaries.
Steps are being taken to liquidate assets to cover these outstanding salaries owed to employees within a month.