Workers acting on behalf of the tax sheriff have left the scene and the workers who had baracaded themselves into the Highland Bakery premises have left the building.
Another shift of workers have now moved in to work in the premises.
Earlier today businessman Kevin Bradley told Donegaldaily.com that he is trying his best to keep the company afloat and the 28 full-time jobs at the Letterkenny bakery.
Mr Bradley was speaking after officials acting on behalf of the Revenue Commissioners tried to enter the Killyclug premises earlier today.
However more than 20 staff inside have barricaded themselves inside and are refusing to come out.
“Mr Bradley told us “I know I owe them money – that is no secret but I am trying my best.
“I would appeal to the Revenue to allow me more grace and to try and get things sorted,” he said.
It is believed a number of men acting on behalf of the tax sheriff have tried to gain entry to the building to remove machinery.
Gardai also arrived at the scene of the stand-off in the Glencar area of the town, but have since left.
Mr Bradley, who is currently in hospital, says he had 48 employees up until last year but had to let staff go.
“You show me business people who aren’t finding things tight. The funny thing is that we are trading well at the moment but we need time to get out of this,” he said.
Donegal Daily visited the scene of the stand-off but found all doors locked.
Two staff from the Revenue Commissioner’s office sat inside a car outside but declined to make any comment.
A recovery truck parked nearby had also been brought onto the site by staff acting on behalf of the Revenue.
Later Padraig MacLochlainn tried to raise the stand-off in the Dail, but he was prevented from doing so because it was a breach of procedures.