The company makes packaging for DVD's and videos
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Up to 100 jobs hang in the balance at a Flintshire company just two years after they were tempted to the region by a Welsh assembly grant.
Cosgrove Packaging re-located to north Wales from Manchester in October 2001.
They received £390,000 from ministers on the condition they created 60 local jobs.
However, on Friday receivers were called in.
The company, which is based in Sandycroft, makes packaging cases for videos and DVD's.
Concern
As Cosgrove Packaging met the criteria set out by the assembly, they will be unable to recoup any of the money they awarded them.
A spokesman for Flintshire County Council said they are on standby to assist the company.
Mark Tami, MP for Alyn and Deeside said he has written to the company.
"We're very concerned to hear the reports," he said.
"I've written to the company and the administrators.
"Employment is very buoyant in the region at the moment but we can't rest on our laurels," he added.