Halloween was an unfortunate but fit setting for the grim tidings that Comet has fallen into administration.

Halloween was an unfortunate but fit setting for the grim tidings that Comet has fallen into administration. Like all good horror stories, this one also has a ready-made villain in the form of Henry Jackson and his OpCapita investment vehicle, which acquired Comet for £2 less than a year ago.

OpCapita, which in another guise also failed to save MFI, has come under heavy fire after it emerged it will be among the first creditors in line for an estimated £60m that could be recovered from the collapsed retailer.

OpCapita bought Comet from Kesa – now known as Darty – through a separate vehicle called Hailey Acquisitions. Hailey, it has emerged, was a secured creditor, which means Jackson and his investors are unlikely to be financial casualties of the process – there are some reports suggesting they may make a profit. With close to 7,000 jobs at risk, it is hardly surprising that the morality of this latest foray by private investment into the retail sphere is being called into question.

The details of the financial structure and strategy of OpCapita’s Comet ownership continue to emerge and the less flattering are casting a shadow over the whole saga. But is it too easy to dismiss the venture as morally corrupt from the start?

Those more sympathetic to the efforts Jackson made to turn Comet into a viable retailer point to the cost savings his team found and the appointment of ex-Dixons boss John Clare as chairman, who as recently as July told Retail Week a return to profit was only months away.

They will also note that it was the loss of the retailer’s credit insurance that sparked Comet’s demise, although there must be concerns it was the speculation Jackson was looking to sell that set those wheels in motion.

It is easy to forget OpCapita was the only ‘white knight’ that appeared when Kesa signalled its intent to offload Comet. While secured creditor arrangements are controversial, under such risky conditions they are hardly unusual.

The collapse has taken few by surprise given the structural challenges Comet faced. The shift to online and the fierce competition in the sector created a deflationary environment where growth became elusive. In that context it is reasonable to question the sanity of OpCapita’s vision for Comet. But regardless of the defence, the nature of the failure will also make it hard to shake the charges of asset stripping.