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16,000 holidaymakers were said to be stranded abroad after tour operator Goldtrail went into administration on 16 July. Goldtrail specialised in value-for-money holidays to Turkey and Greece.

Soothing noises were being made at the weekend by industry spokesmen, assuring the public that because the operator had been ATOL bonded no-one would have trouble getting home and indeed that most flight arrangements would be unchanged.

The news was not so good, however, for holidaymakers about to depart on a Goldtrail holiday. They would lose their holiday and it could take months for the money to be refunded. Indeed, there are people still waiting for their refund from two years ago when XL Leisure Group went bust.

An estimated 50,000 Goldtrail customers could be affected over the coming months, one of the busiest periods for travel abroad.

As people arrived back at Manchester airport, tales were told of hotels demanding payment again even though the holiday had already been paid for. Some travellers even had their passports confiscated by one hotel manager in Turkey who demanded hundreds of pounds to have them released.

The CAA have advised travellers that the ATOL bond protects against this type of thing happening and has issued a telephone helpline number for passengers caught in this situation.

Despite rumours for several months that Goldtrail were facing financial difficulties, holiday makers were still being allowed to make bookings right up to the eleventh hour, something which Simon Calder of The Independent has criticised, as well as the complexity of claiming a refund.

According to the CAA, Goldtrail is the eleventh travel company to go out of business this year.