The Kirrawee Criniti's outlet is at risk of closing after the restaurant chain went into administration.
The Directors of Criniti Restaurant Group appointed Worrells Solvency and Forensic Accountants as administrators at a meeting on Monday.
First established in Parramatta in 2003, the Criniti Group (Crinitis') today comprises 40 companies involved in the operation of 13 venues at locations in Sydney, Melbourne, Perth and Brisbane under the Crinitis Italian restaurants moniker.
"Criniti's is a well-known, well-liked chain, but like all hospitality businesses carries high overheads and is susceptible to any weakening in retail spending," said Worrells partner Graeme Beattie.
"With some locations in the group doing better than others, our first priority will be the preservation of value by identifying and closing the poorer performers, of which we expect there to be several."
As of Tuesday night the administrators were deciding the fate of the Kirrawee outlet but a spokesman said it not yet known whether the 12 month old South Village restaurant would be one of the outlets to remain open.
Sydney outlets of Criniti's include Manly, Darling Harbour, Woolloomooloo, Castle Hill and Parramatta. There is also a restaurant in Wollongong.
Staff across the chain's 13 venues were told of the news in meetings on Tuesday morning,
"These will be difficult, regrettable but necessary decisions made solely because we don't believe the group as a whole can trade indefinitely while a buyer is found or some other solution is reached," Mr Beattie said.
The administrator said he understood the "shock, disappointment and trepidation" staff were feeling.
"While of little consolation to affected employees, by acting quickly to stem losses we are giving remaining employees a better prospect of ongoing work and all creditors a greater chance of being paid," Mr Beattie said.
The administrators are also deciding what happens to gift certificates already purchased.
Criniti's Kirrawee opened in the South Village shopping centre last November.
At the time of opening, Criniti's brand manager Keveene Penilla said they were excited to share their love and passion for food with the Sutherland community, which was new territory for them.
"The Criniti's footprint in the Sutherland area has allowed us to tap into an exciting new audience and share authentic Italian food and more with the community," Ms Penilla said.
"We are a 100 per cent family-owned venue and - with the new residential development in the heart of Kirrawee - South Village was a great choice for us."
Criniti's CEO Kathy Criniti said last November that their authentic Italian dishes used secret family recipes that had been passed down through the generations.
Ms Criniti said diners can enjoy large portions of traditional Italian favourites along with a range of delicious wood fired pizza.
"Our large and exciting menu has something for every taste, craving and lifestyle; including an array of desserts, wine and cocktails," Ms Criniti said in 2018.
"Criniti's is a destination when celebrating a special event, from our traditional birthday drumming to our buzzing atmosphere."
Ms Penilla said Criniti's believed that joy happens around the dinner table.
"When you're here, you're family and we want to share the Criniti's experience with the community," she said. "We love all things food, family, friends and we're a little crazy."
