Ministry Of Food Closes S’pore Branches Suddenly, Only 26 Outlets Left From Original 80

Ministry Of Food Outlets Forced To Shut As Owner Unable To Pay Rent

A business deal fell through in 2017 and Ministry of Food (MOF), which used to boast 80 restaurants across Singapore, are now in deep trouble.

MOF is owned by Ms Lena Sim, and operates 9 brands like DaeSsiksin, MOF @ My Izakaya and Insadong Korea Town.

Source

However, The Sunday Times reports that a slew of branches owned by MOF have been shuttering in recent weeks.

Ms Sim told The Sunday Times that landlords may seize 11 more outlets at SingPost Centre Platform M by Monday (2 March) if she can’t pay the rent.

Problem stems from failed business dealing and frozen assets

The current problems stem from a 2017 business dealing that fell through, resulting in 4 others suing Ms Sim.

Basically, she was unable to pay for a chain of Korean restaurants after another deal didn’t materialise, and the owners sought full payment.

They obtained a Mareva injunction against her in February, which freezes a debtor’s assets, out of fears that she’d get rid of them without paying her debt.

40 outlets were closed in revamp last year

However, Ms Sim had already closed down some 40 outlets even last year as she looked to revamp the business.

An MOF @ My Izakaya outlet at Tampines One, now closed
Source

 

This worked until Covid-19 hit in late January, causing sales to dip between 80-90% at 8 outlets, reported The Sunday Times.

But that wasn’t the worst problem – after banks found out about the injunction, they froze her personal accounts as well.

The inability to pay rent and suppliers is what’s forcing this latest round of closures, even though overall business performance only went down by about 35%.

Staff stand to lose most from outlets’ closures

Whatever your thoughts on a recent saga between Ms Sim and the co-owner of Takagi Ramen, nobody wishes for a business to fall in this way.

After all, they eventually resolved that matter.

Covid-19 has undoubtedly also hit many businesses, especially in F&B, as malls become empty.

But the injunction could not have come at a worse timing for Ms Sim, as the closures also affect staff.

If nothing else, we do feel for the outlets’ staff who suddenly find themselves out of work.

Featured image adapted from Google Maps.

Jonathan Yee

Jonathan is a bedroom headbanger. His Kobo is never far from him.

Recent Posts

Mixue S’pore’s S$1 cone will cost S$1.50 from 25 Nov due to rising cost of raw materials

Mixue will be giving out 1,000 vouchers at each store.

22 Nov 2024, 1:28 am

Man spills Chagee drink inside car while trying to peel perforated section for lucky draw

The bubble tea store covered the car wash fee and gave him a new drink.

21 Nov 2024, 6:23 pm

Man in Korea kills woman who requested breakup after dating for 19 days, gets life imprisonment

The man reportedly stabbed her in the face, neck, and abdomen 58 times.

21 Nov 2024, 6:19 pm

‘0000’ number combination wins 2nd prize in 20 Nov 4D draw

Some netizens felt "nobody" would buy such an unusual combination.

21 Nov 2024, 5:32 pm

‘Tyre slasher’ allegedly deflates tyres in Woodlands carparks, arrested for being public nuisance

The act was seemingly carried out in the name of a climate activist group.

21 Nov 2024, 5:18 pm

Woman in Taiwan gives birth inside toilet, did not know she was pregnant

The baby girl was unresponsive and died in the hospital.

21 Nov 2024, 4:59 pm