Twelve Cupcakes owes over S$1m to creditors; workers may get Oct salary in Q1 2026

[SINGAPORE] Close to 100 creditors are owed slightly over S$1 million by shuttered confectionery chain Twelve Cupcakes, according to one of its appointed liquidators on Tuesday (Nov 25). The amount excludes the unpaid salaries owed to 80 former employees.

The company has entered full liquidation as of Nov 24, the liquidator AAG Corporate Advisory confirmed with The Straits Times. While a committee of inspection, which acts as a representative body for consults with the liquidators, was not appointed yesterday, volunteers are expected to come forward.

Twelve Cupcakes, which had about 20 outlets here, suddenly ceased operations on Oct 29. The Manpower Ministry then said it is investigating the firm, which is owned by Indian tea company Dhunseri Group, for potential breaches including unpaid salaries.

In a presentation seen by ST on Nov 25, the highest amount is owed to Tee Yih Jia Food Manufacturing at about S$196,000, while others included baking supplies provider Phoon Huat, market expansion services DKSH Singapore and packaging company SkyPac Packaging.

ST has contacted Tee Yih Jia Food Manufacturing and Phoon Huat.

The corporate advisory firm held a virtual meeting on Nov 24 with creditors, discussing unpaid salaries and the company’s financial situation. This included the statement of affairs and the total amount of claims by creditors.

Subject to recovery from the assets, the liquidators are hoping to distribute the October salaries of 80 affected employees sometime in the first quarter of 2026. No specific date or deadline was given. The liquidator noted that recovering the funds involves advertising and calling for claims, which has a two-month period.

ST understands that more than 70 people attended the virtual call, and some former employees joined the call from the Food, Drinks and Allied Workers Union (FDAWU) office at River Valley.

A former counter staff, who did not want to be named, told ST that while he is looking for a new job here, he plans to travel back to his home country next week. “If I stay longer, I need to pay for my rental fees. This means I will owe my landlord two months of rental costs. It’s a difficult time.”

SEE ALSO

Twelve Cupcakes staff get vouchers from unions as clock ticks for them to find new jobs

F&B closures: retrenched, unpaid staff may be ahead of most creditors – but will they ever see their salaries?

‘We don’t deserve this’: Twelve Cupcakes staff gather to seek recourse on salaries, CPF contributions

‘Unacceptable and unfair’: Union raps Twelve Cupcakes for abrupt closure, axing of 80 workers

Twelve Cupcakes shutters, bakery chain in provisional liquidation

More

The staff, who is owed about S$4,000 for his October salary, said this does not include about 20 days of the remaining annual leaves and overtime pay.

FDAWU general secretary Sankaradass Chami said the union supported the affected members by providing access to the meeting and ensuring their interests are represented.

“For members unable to join the online session on their own, the union will be hosting them at its office, and will also represent those who have formally authorised the union to act on their behalf,” he said, adding the union will continue to monitor the situation closely and provide assistance as needed. THE STRAITS TIMES