The companies which previously ran the Woolshed, Ambassadors and Black Bull collapse

The pandemic has claimed another hospitality outfit, with the former operator of three city pubs placing his companies in liquidation.

The companies which previously ran Woolshed on Hindley, Black Bull Hotel and the Ambassadors Hotel have been placed in liquidation, however the venues will continue to trade under new management.

John Meek, who operated the three companies, said they had run up a GST debt during the pandemic which they had struggled to pay back.

Mr Meek said the landlord had then decided to cancel their leases and hand them to another operator.

He said that staff payments were “pretty much’’ up to date, with the major debt owed to the Australian Taxation Office.

Woolshed on Hindley’s former operator John Meek speaking last year about the impact of the pandemic. Picture: NCA NewsWire / Emma Brasier

“The two years of closures meant that I couldn’t pay GST and they won’t give me a time period to pay the GST off at Woolshed so we’ve had to go into liquidation,’’ Mr Meek said.

“The landlord went into possession and has re-leased them to another operator on the street, one of my ex-managers.

“(The debt is) mainly GST, the staff are pretty right, we’ve kept up with the staff payments and other bills. It’s 90 per cent rent.’’

Mr Meek said the nightclub industry was hurt the most by trading restrictions and closures during the two years following the start of the Covid-19 pandemic.

“Hindley St rents are so high and wages and all the other costs,’’ he said.

“We weren’t tuned to be able to handle restricted trade and I didn’t have millions in the bank to survive it.’’

Stephen Duncan of Duncan Powell has been appointed as liquidator of the three companies.

The full debt position is not clear at this time.