Balls Brothers, the City wine bar operator, is reportedly close to falling into administration. The Times newspaper suggests this morning that the company has repeatedly breached its banking covenants and owes Barclay Bank £7m. The bank is believed to have brought in Zolfo Cooper, the restructuring specialist, in a bid to find outside investors – however this initiative is understood to have drawn a blank so far. Despite these woes the bank is understood to have taken additional security against the group’s premises and extended credit lines. In the year to January 2009, the last accounts at Companies House show that the company slumped from a post-tax profit of£2.6m to a loss of £224,000. Last week, the group, which operates 19 sites across the city, appointed a new interim chief operating officer following the departure of chief executive Chris Sullivan, who was appointed by the banks back in April.