GROCON CON JOB
Games subbies say they’re owed hundreds of thousands of dollars Work still being done on athletes village
GOLD Coast contractors say they are owed hundreds of thousands of dollars from Commonwealth Games Athletes Village developer Grocon.
Some subbies started to get money after the Bulletin contacted the construction giant yesterday but many others say payments between $20,000 and $1 million are still well overdue.
The builder yesterday surrendered its Queensland building licence following a suspension last month after it failed to meet financial requirements.
A furious Commonwealth Games Minister Kate Jones last night vowed to lobby Grocon “to make sure they pay subbies for their work”.
“I went in to bat for Gold Coast subbies who had been left high and dry in the wake of the Ware Building collapse,” she said.
“Given everything we’ve gone through, I’m furious to hear that since then, Grocon is behind on some payments to other subcontractors for Games-related work.
“The responsible department, the Department of State Development, has made representations to Grocon on behalf of local subbies regarding these latest outstanding accounts.”
The Bulletin spoke to two Grocon contractors, owed more than $1 million between them, who declined to be publicly named amid fears it could jeopardise their claims.
Many contractors are concerned Grocon plans to liquidate its unlicensed Queensland division, which has been unable to satisfy the financial requirements set by the state’s building regulator.
A senior Grocon spokesman said there was “zero” chance of that happening. “Grocon is not going into liquidation,” he said.
Many Games village contractors were stung at the village site earlier this year, after key contractor to Grocon, Ware Building, collapsed owing more than $1 million.
Some Grocon contractors now say their September payments, due at the end of October, have not come through, with repeated promises they would be paid “tomorrow” not being honoured.
The Grocon spokesman said he was unaware of any contractors who had payments withheld.
“I don’t know about that, I wouldn’t have thought so,” he said. “There are still some people who have got retention held on them and people who are still completing those little defects but I wouldn’t have thought there would be people withholding payments.”
After the Bulletin contacted Grocon, at least two contractors received a notification they would be paid.
Tiler Emmanuel Ibrahim, a former subcontractor of Ware, said he had been waiting three weeks for $40,000 Grocon owed him and he received an email for a $33,000 payment while speaking to the Bulletin yesterday.
“They were so helpful at the start – and I was helpful too I suppose because I went back and finished the work for them,” he said. “So I’ve been paid – I’m actually pretty happy with Grocon.”
A1 Interiors’ Perry Richardson also received notification late yesterday that his $116,000 retention would be paid last night, 30 days late.
“I got confirmation today that it would be paid tonight,” he said. “(Previously) whenever they’ve said we were going to get paid they didn’t.”
Concreter Dale Martin said his claims had been paid by Grocon but not in full.
“They started to scrutinise everything, so they didn’t pay anyone the full amount,” he said.
“They took about $20,000 off me. But everyone was just happy they got something.”
Former Ware subcontractor and tiler Brandon Lee said Grocon had refused to pay him $78,000 for work he did on the village in May and June.
“They said they cannot pay it and they would only pay (Ware) invoices from July,” Mr Lee said.
“They said to contact Ware but they are in liquidation. It’s pretty hard.”
I’M FURIOUS TO HEAR THAT ... GROCON IS BEHIND ON SOME PAYMENTS TO OTHER SUBCONTRACTORS KATE JONES