Massive Australian company collapses owing $80million
- GDK Group has gone bankrupt
The debts of a bankrupt group of manufacturing companies have risen to almost $80 million, in what will become one of the largest corporate bankruptcies of the year.
GDK Group, which ran a string of companies in the furniture and building products industries in Sydney’s west, went bankrupt last year – with liquidators since unraveling the extent of the group’s debts.
Over the past year, 12 companies under the GDK umbrella have collapsed, with administrators saying this week that four of these companies owe $48.7 million to 159 creditors, news.com.au reports.
This brings the total amount owed by the group to $78 million, combined with another company linked to the group that was already revealed to be owed $29.8 million.
One of the group’s companies, Joinery Manufacturing Solutions Pty Ltd, based in Weatherill Park, brutally told 30 employees they had been made redundant just before Christmas.
More to follow.
GDK Group in Sydney’s west has gone bankrupt with debts of almost $80 million