The proposed sale of failed ISP Biscit's customers to service provider Breathe has not gone through.
Biscit went into administration last week, and it was subsequently reported that its customers — many of whom were bought by Biscit from the ISP V21 last year — were to be bought by Breathe.
However, on Tuesday Breathe posted a notice on its website to say that the sale had not gone through as Breathe was "prohibited from contacting [the customers] directly, and cannot migrate them to our services, although we will be delighted to provide any assistance that we can to anyone who contacts us".
The statement also suggested that Biscit's financial collapse had been brought about by its acquisition of V21. That purchase had itself led to difficulties with V21's previous supplier, Netservices, resulting in a legal battle which Biscit won.
"The relationship between V21.co.uk Limited and Biscit Internet Limited is subject to a legal dispute, and does not involve Breathe Networks," the statement added. According to a post by Breathe's chief executive, Marcus East, on the ISP Review forum, that dispute centres on which company actually owns the customers.
Around 12,500 Biscit customers are currently waiting to see what happens to them, as they could find their connectivity severed unless Biscit finds a buyer.