‘Where’s the money?’

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By PHILIP CHANDLER

A Queenstown creditor of a crashed local building company claims retentions money’s gone missing, how ever the liquidator says everyone with a valid claim will be paid by the end of
August.

The latest report by Rilean Construction (Central Otago) liquidator, EY’s Rhys Cain, says $418,422 in retentions had been claimed, but there was a shortfall.

Advantage Plumbing & Drainage owner Peter Faul, who’s owed about $80,000, including retention money, says ‘‘somebody should be held to account for that’’.

 

 

 

 

 

 

‘‘That’s our money that belongs to subcontractors that [the company] held on our behalf, supposedly protected in trusts, and it’s not, so where’s that money gone?’’

Cain says his office holds some of the money and some’s with the company’s solicitors, and the directors will make up the shortfall.

‘‘Everybody with a valid, verified retention claim will get exactly what they’re owed.’’

What the final sum will be won’t be known till the end of the remediation period for Queenstown’s Remarkables Residences, which is August 4, Cain says.

However, he’s not optimistic unsecured creditors — owed $771,089, according to his report — will get paid.

Preferential creditor IRD, owed $119,091, will get first preference, while the company had no more ‘‘physical assets’’ to sell.

Faul, however, believes director Gary Dent and ex-director Steve McLean, both have the resources to pay everyone — neither could be contacted for comment by deadline.

scoop@scene.co.nz