Creditors agreed to accept a deed of company arrangement yesterday even though Le Meilleur had debts in excess of $15 million.

The company agreed to pay $750,000 for the upgrade of the course which members said was nowhere near what was required to get the course back to top condition but the contribution was welcomed.

The Jin Heung Mutual savings Bank and NH Capital Co. are owed an estimated $12 million from the failed golf resort that was purchased out of receivership in 2004.

It was revealed by Ken Whittingham of PKF Chartered Accountants that the company owed more than $700,000 in employee entitlements of which $423,580 was in unpaid superannuation.

Cash flow forecasts for the period of administration indicated Horizons was losing between $30,000 and $40,000 per week.

The statement said the company had been incurring trading losses since its inception in 2004 and that operations at the resort were generally unchanged in that time.

The company's financial position deteriorated rapidly and as a result of continued non payment it faced more than 25 winding up petitions and other recovery actions between March 2009 and June 2010.

Among the reasons given for the disaster were "a general lack of understanding of the industry-specific knowledge that was critical for the success of a golf resort" and "inadequate marketing and sales initiatives".

A loss of repeat customers was another reason cited for the situation.

The Salamander Bay complex was valued at $7.1 million.