Lawyer’sL bungle behind Hutchies ‘error’

HUTCHINSON Builders has revealed the “unfortunate” chain of events which led to a document appointing external administrators to the company being lodged “in error”.

Australian Securities and Investments Commission records show a four-page notification of appointment of a receiver and manager, dated September 6 was lodged for Hutchinson Builders on September 9.

A two-page notice for a cease of receivership, also dated September 6, was lodged on September 13.

Hutchies director Russell Fryer said the blunder had been caused by a lawyer filling out a form incorrectly.

“The form was lodged by an external legal consultant, HWL Ebsworth, who was representing Hutchies, and mistakenly put our company name in the wrong place on the form,” Mr Fryer said.

“Hutchies was appointing a receiver to preserve our position on the Queen Street Village project. Regrettably, it was an unfortunate mistake.”

Hutchies is listed as a $22m secured creditor of company Nerang Street, developer of the $500m Queen Street Village project in Southport, which called in administrators earlier this month.

Hutchies has published its audited 2021-22 financial report, logging a profit before tax of $29.8m, and a debt-free balance sheet of $388m.

Mr Fryer said the builder remained in a strong position.

“There is no doubt that the industry remains challenged by supply, labour and weather delays which continues to add pressure on time and cost across the construction sector,” he said.

“People are looking for security in these uncertain times, and the strength of Hutchies’ balance sheet provides that certainty.”

Bob Crouper, a 60-year construction veteran who ran his own mechanical services business, said the situation was “a shocker” and had rattled subcontractors.

“They’d be scared stiff,” he said.

“If Hutchies falls over then that’s almost the end of the road. It’s the last thing we want.”