Vystal Construction and Development goes bust, owing $4.1m to almost 200 creditors

An established Brisbane construction company being watched by the QBCC has gone bust owing millions to almost 200 creditors. SEE THE LIST OF CREDITORS.

SUB-CONTRACTORS and workers are owed a staggering $4.1 million following the shock collapse of a major Queensland construction business.

Details on the extent of the collapse of MJM Projects, trading as Vystal Construction and Development, can be revealed.

The failed building company owes 182 secured and unsecured creditors $3.99 million, a financial report authored by liquidator Steven Staatz reveals.

A further eight priority creditors, workers and the Australian Taxation Office, are owed $137,378 - taking the total to $4.1m.

Vystal Construction director Martin Graham on a building site at Atherton.

Vystal Constructions is run by director Martin Graham and was part of the Vystal Property Group.

It is understood the wider Vystal group is unaffected by the liquidation.

The Carrara construction company, which claimed a strong reputation in the building industry for “benchmark setting, high-calibre homes”, collapsed on January 29.

Mr Staatz’s early investigations suggest most creditors are unlikely to see a cent of the money owed, with the liquidator tipping a deficiency of $4.2 million once his liquidation fees are taken into account.

Mr Graham, who headed the company for 15 years, was contacted for comment.

A report on the amount of money owed to the company reveals $5470 is outstanding.

Vystal Constructions’ assets include IT equipment, four motor vehicles and office items worth $88,274.

Mr Staatz’s early investigations reveal Vystal Construction and Development stopped operating on January 22 after its licence was terminated by the Queensland Building and Construction Commission.

The state’s building watchdog put Vystal Construction and Development on its watchlist in November following concerns about its financial security.

A spokesman for the QBCC said it was unaware of any customers left with unfinished projects, but was reaching out to all homeowners who may be affected.