A consultancy co-founded by Peter Mandelson has collapsed into administration after several clients cut ties with the company over the former ambassador’s relationship with convicted child sex offender Jeffrey Epstein.
The global counsel, which Mandelson co-founded in 2010, said on Friday it had ceased trading and made redundant its staff in the UK.
The London-based company has around 100 employees, the majority of whom are based in the UK. It also has employees in Berlin, Brussels, Doha and Singapore.
Despite attempts by administrators at Interpath to distance themselves from Mandelson and its other co-founder Benjamin Weg-Prosser, the global counsel said it had “no choice” but to enter administration after several clients severed ties with the business.
The crisis hit Global Counsel after it emerged that Mandelson had sought advice on setting up the business shortly after leaving office when Mandelson lost a general election in 2010.
Will Wright, chief executive and joint administrator of Interpath, said on Friday: “Although Global Counsel has grown into one of the UK’s leading public affairs consultancies over the past 15 years, the rapid and sudden loss of clients in recent weeks has had a monumental impact on the business.
“We will now conduct a detailed review of the company’s assets and liabilities and explore the best way to realize the company’s assets.”
Interpath’s immediate focus is on support staff in the UK.
Weg-Prosser stepped down as chief executive earlier this month.
Files released by the US Department of Justice show that Weg-Prosser met with Epstein and shared the company’s business plan while Epstein was under house arrest in New York.
Global counsel has been contacted for comment.
