Four construction and development companies thought to be linked have gone bankrupt, leaving 25 projects in the works.
The NSW companies – Adroit Constructions Pty Ltd, Maximus Builders Pty Ltd, Maxim Builders Pty Ltd and Maxus Builders Pty Ltd – were all declared bankrupt on Tuesday.
Bruce Gleeson of Jones Partners has been brought in as liquidator and has been told news.com.au that 25 projects at the four companies have now been halted.
The companies are all registered to an address in Ryde, in Sydney’s north, and are believed to be linked.
The companies were not active when they went bankrupt.
“There were approximately 25 contracts at various stages of completion across the four companies,” Mr Gleeson told the publication.
“We are currently in the process of communicating with clients on this topic and the impact of companies being placed into voluntary liquidation.”
The New South Wales Government issued a stop-work notice to Maxim Builders Pty Ltd on March 1 this year over the construction of a house at Tanilba Bay, Port Stephens.
Four construction and development companies thought to be linked have gone bankrupt, leaving 25 projects in the air (stock photo of construction workers)
Inspectors visited the building in February and found “non-compliant wood framing, which compromises the structural integrity of the building” and “non-compliant termite barriers at the perimeter, which compromises the structural integrity of the building.”
“I am of the opinion that the construction work is being carried out or is likely to be carried out in a manner that is likely to result in significant harm or loss to the public or to the occupants or potential occupants of the building to which the work relates, or significant damage to property,” the Building Commission NSW work order reads.
There’s more to come