Will Wright, Paul Flint and Brian Green of KPMG have been appointed joint administrators of soft furnishing manufacturer Montgomery Tomlinson Ltd, which has collapsed owing more than 500 staff a month's wages.

The firm is a supplier and retailer of custom made curtains and accessories. Following the administration a total of 530 employees across 123 department store and retail concessions, and its factory and warehouse facility in Chester have been made redundant.

Will Wright, joint administrator and restructuring partner at KPMG, said: 'As a result of an increasingly competitive marketplace, a fall in sales left Montgomery Tomlinson critically short of cash and unable to meet its liabilities. Despite the tireless efforts of the directors to secure a sale of, or investment in the business over the last four weeks, it has been impossible to find a workable solution to enable the company to continue to trade.'

The joint administrators have announced that employee salaries for August 2013 will not be paid due to insufficient funds, and they are now assisting staff to make claims to the Redundancy Payments Office for the amounts owed.