Q1 Homes scrutiny
Govt comes good on collapse probe funding
THE Queensland Government has revealed how much it will contribute to the public court examination of two devastating construction company collapses.
Creditors were told this month the Government had made good on its election-eve promise to fund a public examination into the failures of Cullen Group and Queensland One Homes, which left scores of small and big businesses out of pocket by millions of dollars.
The public inquiry was announced the day before the State election last November.
Liquidator Michael Caspaney will conduct the inquiry, which is expected to be under way in the Supreme Court early next year at a cost of about $300,000.
In a previous submission to the Supreme Court, Mr Caspaney said “a commercially unrealistic business model” and “a systematic drawing down of the company’s liquid assets in favour of related parties” had caused the insolvency of Q1 Homes.
The court was told important company records had been water damaged when computers were left in the back of a ute and that phone records had been lost by the previous liquidator.
Mr Caspaney’s report states he found emails and other evidence that actions were taken to change contracts and display home signage from Queensland One Homes to Mr Callender’s wife’s company, Empire Constructions, a few weeks before the company collapsed.
The Queensland Building and Construction Commission referred allegations of illegal phoenix activities to corporate regulator ASIC.
Creditors of Q1 Homes heard assets belonging to director Paul Callender and his wife Amber were being sold off piece by piece, but it could be another two years before subcontractors and suppliers receive some – if any – of more than $5 million owed.
A report to creditors from Mr Caspaney said he had received proof of debts totalling $5.3 million, including $383,523 to the Australian Taxation Office, $90,680 in state payroll tax and millions of dollars to more than 50 other parties – many of them Gold Coast small businesses and sole traders.