Government-backed Griffin Place Communications in liquidation

The doors at Griffin Place Communications were locked on Friday

A call centre in Torfaen which received £600,000 funding from the Welsh government has gone into liquidation.

Griffin Place Communications Limited, in Llantarnam, Cwmbran, employed up to 140 people, with many staff claiming they were sacked days before.

Torfaen AM Lynne Neagle said the Welsh government has "serious questions to answer", while Welsh government said it would be reviewing the situation.

Attempts have been made to contact the company for comment.

On Friday, employees arrived at the Llantarnam offices to find the rooms empty and the doors locked.

The company has notified some workers that it has commenced liquidation proceedings and many of those have claimed they are owed thousands of pounds in wages.

A letter to employees from insolvency firm Finn Associates advised there will be a meeting of creditors on 13 August.

The letter confirmed the company has commenced liquidation proceedings

Ms Neagle has arranged a public meeting for former workers on Monday at Mount Pleasant Hall in Pontnewydd.

"The immediate priority now has got to be to try and support the many staff who have been devastated by this news," she said.

Shadow Economy Minister William Graham said Welsh taxpayers "will rightly question" whether Welsh government's investment in the project represented value for money.

Torfaen council confirmed it will be contacting seven clients employed by the company as part of the UK government's Work Programme.

According to the Welsh government, support provided to the company stipulated jobs should be in place for at least three years.

"We will, with immediate effect, be seeking repayment of relevant grant sums," the spokesperson added.

"We have also mobilised the Welsh Contact Centre Forum, who can signpost affected staff to potential new job opportunities, and we will keep the situation under review."