Mayfair club hit by £700,000 debts

Funky Buddha, the Mayfair nightclub once chosen by the stars for lavish parties, is facing an uncertain future.

The club's management company, Blue Gem, has gone into liquidation with £700,000 debts and staff were laid off last month.

The club, frequented by Calum Best, Scarlett Johansson, Lady Victoria Hervey and R&B star Usher, was one of London's most successful venues when it was launched in 2002 from the ashes of the Zen Lounge.

Abi Titmuss and John Leslie were regulars on the dance floor.

It was also where footballer Dwight Yorke had his £40,000 Rolex stolen before he ran after and captured his assailant. The club was catapulted to fame when Puff Daddy chose it for a party soon after its opening night.

It quickly became a haunt for B-listers and numerous footballers.

Now liquidators, Menzies Corporate Restructuring, are hoping to sell some of the furniture and the drinks stocks. Funky Buddha ' s operators, Jimmy Mann and Eddie Sum, spent £75,000 last year on a cocktail bar.

But clubland rumours grew that they had been trying to sell the venue, first for £1 million, then £750,000 but there were no takers.