Barium Technologies LLC exits local IT channel
DCG vows to take action to recover member’ funds as IT trader reportedly closes leaving over $10m debt
Barium Technologies LLC, an IT reseller and trading company that operated from Dubai's Bur Dubai business district has exited the channel barely three years after it was established following the company's failure to meet its debt obligations, Channel Middle East has been informed.
The Dubai IT channel doesn't lack for reseller businesses exiting the market, but Barium Technologies' demise from the local channel will bring more uncertainty and pressure to a market that experienced sluggish channel sales for most of 2015.
Founded in 2011 in Dubai, Barium Technologies was until its demise a specialist reseller and IT hardware exporter to the Middle East, South East Asia, Africa, Central Asia and Europe. In addition, the company was a partner of several top tier one IT multinational brands.
Sources familiar with the matter have told Channel Middle East that the owner of the company fled to India last month after his company couldn't meet its debt obligations, which are estimated at over $10m. Barium Technologies is alleged to have owed several Dubai-based top IT distributors, IT traders, banks and financial lending institutions millions of dollars.
"We have come to know there are lot of affected parties and some of them are members of the Dubai Computer Group (DCG)," said Shailendra Rughwani, president at DCG. "Unconfirmed reports indicate that the amount is above $10m, which the companies [IT distributors, IT traders and banks] might have lost due to the latest runaway."
Rughwani added that although Barium Technologies was not a member of DCG, some of the association's members have lost funds in the latest runaway."DCG had arranged a meeting for all affected parties on 22nd December 2015 at Grand Excelsior Hotel in Dubai which was attended by about 35 people including those directly affected by Barium's demise and other reseller runaways in the market," he said.