Why weren't we warned ask 40,000 furious holidaymakers as travel company collapses

Around 40,000 were told last week their bookings could no longer be honoured after the company went into administration. A quarter were due to go away over Christmas and New Year.

Although all customers will get a refund, many who were due to depart in the next couple of weeks are angry they weren't warned in time to make other arrangements.

Managing director Richard Ford delayed putting the Gloucester-based company into administration until his 270 staff had received their December pay.

If he had acted earlier the company's assets would have been frozen and his staff may not have been paid.

But clients say if Mr Ford knew the business was in such trouble, they should have been told sooner.

Sophie Ames, 18, from Hawarden near Chester, was due to spend New Year in Amsterdam with friends. She said: "We had all saved £150 to travel by coach and ferry. The first we knew was on Friday when I checked our travel arrangements.

Mr Ford, who set up the business 15 years ago, was in tears yesterday as he said he was 'devastated' and took 'full responsibility' for the collapse. He is set to lose his £1million home in Painswick, Gloucestershire.

"We did try to sort the problem out so they could travel, but it proved not to be possible," he said.

Two years ago Travelscope had £15million in the bank. But a £6million investment in a new building and two cancelled cruises spelled disaster.

Retired primary school teacher Pat Horn died of a stomach bug on a cruise in 2006 and her family announced their intention to sue.

The legal action meant banks would not lend to the company and Mr Ford, in a last-ditch attempt to save the firm, remortgaged his home.

It emerged yesterday that a three-month roundthe- world cruise due to leave Falmouth in the New Year may go ahead.

The Dutch company Club Cruise, whose ship the Van Gogh was chartered by Travelscope, has offered the cruise for lower than the cost of compensation.

A small number of readers have holidays with Travelscope booked through the Daily Mail Travel Service. Those with imminent departures have already been contacted by Travelscope.

The majority of Daily Mail Travel Service holidays are booked with other operators and there is no cause for concern.

Any readers who have queries about Daily Mail Travel Service holidays should ring our helpline on 0800 010111 between 8am and 8pm.