Creditors of KES Development Limited are expected at a meeting in New Kingston this morning at what is predicted to be a stormy encounter to be chaired by liquidator Kenneth Tomlinson.

Last night, well-placed sources said Tomlinson was feeling pressured by individual creditors and was considering giving up the job to wind up the company less than eight months after he was hired to salvage the assets, pay down the company's debts and wind up the operation.

Whether he does, Wednesday Busi-ness was advised, depends on how today's meeting unfolds.

"This thing is hot," the source said.

"There are a whole lot of big names - money people - involved."

Our sources also say KES's liabilities are around $1 billion and that the real estate developer, when it went into voluntary liquidation, had some eight to 10 developments in various stages of completion on its books.

Millions owed

The company, which was founded back in 1995 by husband-and-wife team Hugh and Elesa Scott, is indebted to an estimated 40-50 creditors, with Capital and Credit Merchant Bank (CCMB) said to be holding a debenture over some of the debt.

CCMB and Jamaica Mortgage Bank together are said to be owed $5 million.

The merchant bank said yesterday it would not comment, and JMB at press time had not returned calls.

A notice was sent to creditors, inviting them to a meeting at the Courtleigh hotel.

The Scotts, Wednesday Business was advised, placed the business in liquidation last December after its cash had virtually dried up with its projects unfinished.

The majority of the creditors, Wednesday Business also learnt, are depositors who had paid down money to acquire some of the houses.

Scott confirmed Tuesday that the liquidation was voluntary but refused to divulge any further information.

"I have appointed Kenneth Tomlinson as the liquidator," he said as he instructed that all questions be addressed to the liquidator. "He has told me not to speak to anyone since I appointed him."

Tomlinson, who is well known for his work in this line of business and equally for his adeptness at evading media queries, was unreachable.

Our sources say the liquidator is bracing for tough questioning from KES's creditors, and that he is already under severe pressure, because many of those who are owed have a fair understanding of the poor state of KES's financial position.

Wasted property

The Scotts, in their 14 years of business, have done developments in the capital and around the country. One of KES's projects was confiscated by its bankers and placed in the market in March.

The partially done, and overgrown construction at Old Stony Hill Road, St Andrew, has been idle for several years, and is on the market for $124 million, real-estate brokers say.

The development should have comprised 16 town houses.

dionne.rose@gleanerjm.com