KPMG corporate recovery partner Blair Nimmo said little would be retrieved from the company.

"All we can do now is effect an orderly sale of the remaining assets such as fixtures and fittings and work in progress."

Begbies Traynor partner Ken Patullo, whose firm put together the CVA, said one of the reasons for the failure of the business was a lack of investment by the new management.

Former backer Royal Bank of Scotland is owed 500,000, while the pension fund at George Waterston (Security Printers) (GWSP) is also owed monies.

Following the rejection by creditors of the CVA on 28 October, the firm was forced into liquidation.

GWSP was the last surviving part of George Waterston & Sons, the 250-year old stationery and printing business.

The firm was created in June last year in a management buy-in, following the demerger of George Waterston & Sons.

The other half of the business, Waterston Mackenzie Storrie, also failed at the end of last year. Some of its assets were subsequently acquired by Stewarts.

GWSP accounts for the year to 31 December 2003 show pre-tax losses of 242,565, against a turnover of 2.6m.

The firm employed 55 staff at its Newbridge plant, producing security print for a number of clients, including the Bank of England.

Shareholders include chairman Richard Kilner and operations director Michael Willis.

Story by Andy Scott