Construction project management firm Exel Infragroup Pty Ltd collapses: main contractor of multimillion dollar Victorian government project goes into liquidation
- Construction company Exel Infragroup Pty Ltd has collapsed
- Victorian company owes more than $4.2 million to 83 creditors
Yet another construction company has collapsed as a result of more than $4 million in the latest example of Australia’s worsening construction industry crisis.
Exel Infragroup Pty Ltd, a company that was until recently the prime contractor on a multi-million dollar government project, filed for bankruptcy on July 14.
The Victorian-style firm has appointed liquidators Petr Vrsecky and Paul Anthony Allen of insolvency firm PKF Melbourne.
Exel Infragroup owes $4.225 million to 83 creditors, with liquidators hoping to repay up to $350,000 to creditors by selling company assets, including an oil rig.
Exel Infragroup Pty Ltd, a company that was until recently the prime contractor on a multi-million dollar government project, filed for bankruptcy on July 14
The Victorian-style firm (pictured) has been appointed liquidators Petr Vrsecky and Paul Anthony Allen of insolvency firm PKF Melbourne
They’ve made huge losses in recent years. That’s essentially why the company went bankrupt,” said Mr. Vrsecky news.com.au.
“When the company went bankrupt, there were only four employees left. Most of the creditors are subcontractors and suppliers.’
According to the still active website of the group, the construction company specializes in civil construction, directional drilling and rail works.
Exel Infragroup had previously been hired to work on Victoria’s Big Build – a series of road and rail infrastructure projects commissioned by the state government.
The company worked with a range of subcontractors on the North East Line Upgrade at Lilliput and Balmattum in rural Victoria.
Some of those subcontractors are now claiming they owe thousands of dollars.
Synergy Traffic Management, based in Shepparton, was a subcontractor to Exel Infragroup on the Big Build project.
Operations Manager Callum Phillips said that while Exel Infragroup received payment to complete the work, he is still waiting for $63,000 for his employees.
He says he’s been chasing the company for the past eight months, to no avail.
Synergy Traffic initiated liquidation proceedings against Exel Infragroup, but the company voluntarily went bankrupt before the case went to court.
Exel Galaxy, which operated in partnership with Exel Infragroup, also collapsed in 2020 due to $5 million in creditors.
More to come.