A long-established Bradford fireplace company is expected to be liquidated next week after a meeting of creditors was called.

Family-owned Challoners Fireplaces, which was formed in 1957 and based in Thornton Road, Bradford, could be wound up at the meeting at the Midland Hotel on July 15.

The move could leave customers who paid cash deposits hundreds or thousands of pounds out of pocket.

Leeds-based insolvency specialist BWC Business Solutions was called into the company last week and found it to be insolvent. It is understood that the company had slumped into difficulties after director Paul Challoner was taken ill and was away from the business for a lengthy period of time.

Gary Blackburn, a partner at BWC, said there had been many calls from worried customers who had placed deposits for items or paid in full and were awaiting them.

He said those who had paid by credit card should be protected under the Customer Protection Act 1974, but the situation was less optimistic for those who had paid cash. "At this stage, it is looking unlikely they will get their money back," he said.

"At the moment we are trying to work things through and put together a brief resume of the company to be presented at the meeting. It is a shame when a company that has been going so long and is manufacturing and selling a high quality product gets into these difficulties. It is sad to see. We have talked to one or two interested parties, but we will have to see how things progress."

The business employed one director and four full-time staff. It also used a large team of self-employed fitters who worked on contracts for the company. It is understood they were, until fairly recently, also full-time employees.

The company is well known and had carried out high-profile projects for clients including Bass Taverns and Euro Disney in Paris.

The meeting of creditors takes place on July 15 at 10.15am at the Midland Hotel, Forster Square. Anyone who thinks they are a creditor should contact Mr Blackburn or Martin Willock on (0113) 2433434.