EXCLUSIVE
Yet another building company has collapsed, with Sydney-based Alpine Projects Australia appointing liquidators earlier this week, costing all 26 employees their jobs.
Alpine Projects Australia, which also trades as Alpine Designer Projects, is a sister company to Lane Cove-based Allura Homes, which news.com.au revealed had fallen into liquidation in July.
Alpine liquidator Mohammad Najjar of Vanguard Insolvency told news.com.au he was appointed on September 19 and “all 26 staff were terminated on September 20”.
He confirmed the employees have been left out of pocket, owed pay, annual leave, long service leave and superannuation entitlements, and his priority was to pay the staff as much as possible.
Mr Najjar said Alpine, which specialised in residential construction, has three projects currently underway with each one at about 50 per cent completion.
While the financial state of the failed business is still being assessed, Mr Najjar said its liabilities “look to be in the millions”, with “a large amount of creditors”.
Among them are contractors and trades that worked with Alpine.
Mr Najjar said he was “still trying to get his head around” the assets of the business, the majority of assets appear to be debtors that owe Alpine money, along with some equipment.
He said while the reasons for the failure were still being assessed, company directors were blaming a combination of factors including labour shortages, fixed price contracts, supply chain delays and the flow on effects of the pandemic.
Allura Homes Pty Ltd, which fell into liquidation in July had 39 residential projects underway.
The appointed liquidator, Dane Skinner of insolvency firm Raft Consulting, said the homes were at varying stages of completion.
“There is a variety – from initial deposits with letters of intention to construction phase and practical completion, subject to defect claims,” he told news.com.au.
All 11 employees of the firm lost their jobs on the spot, although it’s understood four had quit before liquidators were called in.
In July Mr Skinner told news.com.au that Allura Homes appeared to owe creditors $3.3 million, however that figure has since been updated to $8.2 million.
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Despite the staggering debt, the business only has assets estimated to be worth $160,000.
“The company’s inability to keep up with inflation pressures” was to blame for its failure, Mr Skinner said, who expects to hand down his report to creditors by October 24.
michelle.bowes@news.com.au
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