The Ministry of Food Shut Down After Fails To Repay $200,000 in Debt
source vulcanpost
Another local restaurant chain Ministry of Food will be winding up after they failed to repay a debt of $200,000. In 2019, MOF has offered a $200,000 loan by Chua Ngak Hwee the co-founded of Health stats as a friendly gesture, however, in March 2021. Chua decided to sue the company when MOF Failed to repay back the loan and the High Court has approved Chua’s voluntary winding up application which ceases up the Ministry of Food’s business operation and shutting all of its restaurants.
The application can enable a liquidating to sell the company’s total assets o repay its debts, Tam Chee Chong, director of Kairos Corporate Advisory is the appointed liquidator. Another application had been made to the High Court in January 2021 to claim S$4.8 million from the Ministry of Food. It was made by Lee Je Young and three others, who sold the company a chain of Korean restaurants for S$5.5 million. They only received $700,000 in payment and sued the company in 2017 for the remaining $4.8 million.
The injunction froze Sim’s assets up to the value of the outstanding S$4.8 million and resulted in the closure of five outlets in February and March 2020. Shortly before this, Sim was caught in another financial dispute where MOF was allegedly S$16,000 in debt in January 2020.
Ministry of Food was established in 2006 and it was first to open in Marina Square then the chain had 80 restaurants at its peak with nine brands under its group. The brands are:
- Daessiksin Korean BBQ Buffet
- Danro Collagen Hotpot Buffet
- Insadong Korea Town
- Ju Hao
- Lenas
- MOF My Izakaya
- Social Square
- Ssiksin Korean Grill BBQ Buffet Restaurant
- Terminal M
Later in March 2020, the MOF was left with only 26 outlets.
source vulcanpost