OSAKA -- Leap English Conversation School declared bankruptcy late Tuesday night, leaving behind 245 million yen in accumulated debts.

Students and teachers arrived Wednesday morning at the school's three branches in north Osaka, only to be greeted by padlocked doors. "We had no warning that the school would close," said Emi Muto, a student at the branch near Kansai University.

Thomas Joannes, a teacher at the Minami Senri branch, said he received a call late Tuesday night from another teacher, informing him of the Osaka-based school's closing. About 50 teachers are owed 22 million yen in unpaid salaries.

Leap's 864 students had contracts worth 150 million yen at the time of bankruptcy. A group of students is discussing legal action against the school and its owner, Hidekazu Fujiwara. Neither Leap officials nor Fujiwara were immediately available for comment.