A luxury Melbourne construction company has gone bankrupt and notified its customers by letter.
PFK Melbourne has been appointed as receiver after Dome Building failed to negotiate payment terms with a former director and shareholder.
The South Melbourne company had suffered major losses and directors Andrew Crellin and Jeremy Brockman called the situation ‘heartbreaking’. Herald Sun reported.
“You may or may not be aware of a situation last year in which a former director and shareholder left the Dome business,” the letter said.
‘As a result, Dome has annual payment obligations to this former director.’
Luxury construction company Dome in Melbourne (building in the photo) has gone bankrupt and has informed its customers by letter
“Due to the extraordinary financial hardships the builders have endured over the past twelve months, we have been unable to fully meet our annual obligation to the former director this year.
“We attempted to negotiate revised payment terms that would still allow full payment to him in a manner that would also allow the Dome company to survive.
‘However, the revised payment terms were not accepted and ultimately negotiations failed.
“Unfortunately, the failure of these negotiations has had a detrimental effect on our business.
‘Our company has now been forced into liquidation due to our inability to meet our obligations and refusal to meet any payment terms that the company can accept.’
Dome had recently expanded into upscale Byron Bay on the NSW north coast, but now all work is at a standstill.
When he started in NSW, Dome said on social media it was “proud to announce we’ve gone national”.
“Our new office in Byron Bay, staffed by a dedicated and experienced team, marks an exciting chapter in our journey.
‘We look forward to expanding our portfolio of architects, contractors and suppliers.’
PFK Melbourne has been appointed as receiver after Dome Building failed to negotiate payment terms with a former director and shareholder. Dome director Andrew Crellin is pictured
Former director and shareholder Scott Wilcox left Dome in August 2022 and founded a luxury construction company called W.
The company would make annual payments to Mr. Wilcox.
Last February, Dome issued about 400,000 company shares at $1 each to Crellin Pty Ltd, which is reportedly linked to a relative of director Andrew Crellin.
It is unclear what impact Dome’s appointment of curators will have on the restoration project.