A Bristol bar set up by two brothers from Weston-super-Mare has been wound up with debts of £1.25 million.

Brothers Cam and Kiem Mu have built up an empire since opening their first business, the Sea Palace Chinese restaurant in St James Street, Weston, 21 years ago.

Their other businesses in the town include Sands Nightclub, Club Vision and Dragon's Kiss.

They then moved into Bristol, opening bars Mu Mu's in King Street and Dragon's Kiss, in Whiteladies Road.

But the King Street bar closed in February and the company which ran it, CK Enterprise (Bristol) Ltd, has now gone into liquidation.

The businessmen blame tough market conditions for the failure of the venture.

Almost £800,000 of its debts are owed to other businesses set up by the Mu brothers or to the brothers personally.

In a statement of affairs handed to liquidators Begbies Traynor, also of King Street, it says as of June 16 the company has £1.25 million of debt that cannot be paid. This is owed to a total of 44 businesses or individuals including their own other establishments. According to the report CK Enterprises (Bristol) Ltd owe Sands £223,712 and the Sea Palace £21,443.

Cam, of Brean Down Avenue, Weston, is owed £89,497 and Kiem, of Wolvershill Road, Banwell, is owed £84,852.

Other money is owed to CK Enterprises (Weston) Ltd amounting to £142,082, CK Destination Ltd £232,833 and shareholder Waimond Law £204,991.

Barclays Bank Plc in Regent Street, Weston, is owed £42,000 and the business also owes HM Customs and Excise £27,933 and HM Revenue & Customs £16,619.

A document detailing unaudited accounts dated August 31, 2007, showed that CK Enterprises (Bristol) Ltd made losses of £200,000 in that year. Overall the brothers employ around 200 people in North Somerset at their other businesses, which are not affected by the Mu Mu's closure.

Cam said: "I had to close the bar, and I lost £1.2 million. It was unfortunate we had to close Mu Mu's down but the market place is tough at the moment. I don't want to comment further."