Director’s conduct under the microscope as company collapses

Dozens of businesses and families are out of pocket after the collapse of G.J Gardner Homes at North Ipswich. Now the man responsible for mopping up the mess reveals if they’ll get anything back.

CREDITORS are unlikely to receive a cent of the $1.9 million they are owed following the collapse of G.J Gardner Homes at North Ipswich earlier this year.

A report into the operations of TP Enterprises Aotearoa Pty Ltd, trading as GJ Gardner Homes Ipswich, was formed by Worrells Solvency and Forensic Accountants partner Adam Ward.

His investigations revealed 104 unsecured creditors were owed $1.960 million.

Summit Roofing is the largest unsecured creditor, out of pocket $151,226.

Three more secured creditors are owed $376,909 while four staff are short $26,928 in wages and superannuation.

The company’s assets total just $1359.27, including $903.13 held in a Commonwealth Bank account.

“It is unlikely that there would be a dividend to priority or unsecured creditors,” Mr Ward wrote.

G.J Gardner Homes Ipswich managing director Pieter Burghout has remained silent since the company went bust on January 23.

Mr Ward will also investigate whether, under the Corporations Act, Mr Burghout followed his duty to prevent a company from incurring debts when there are reasonable grounds for suspecting it will be unable to pay them.

“To justify the considerable cost of pursuing an insolvent trading claim against the director - which is a completely separate from any action which ASIC can take for the offence of insolvent trading - I must be satisfied that the director has the financial capacity to satisfy a claim,” Mr Ward wrote.

“I understand the director may not have capacity to cover any such claim if made against him.”

There is no suggestion of wrongdoing by Mr Burghout.

GJ Gardner Homes managing director Pieter Burghout.

The collapse of G.J Gardner Homes at Ipswich left 15 incomplete building projects and 25 clients who paid deposits to have pre-construction preparation works undertaken.

Mr Burghout told Mr Ward the company’s main reason for insolvency was due to its inability to meet the Queensland Building and Construction Commission’s minimum financial requirements.

Mr Ward will investigate whether any offences were committed under the Corporations Act.

“I will assist ASIC should it decide to undertake further investigations in response to our report,” he said.

Liquidators or administrators were appointed to 113 Queensland businesses in September.

Read the Courier-Mail’s full list here.