Construction boss speaks after company collapse

Embattled RGD Group boss speaks after companies slide into administration, vowing to ‘try and get the best’ for creditors.

Ron Grabbe has been involved with the Mooloolaba Outrigger Canoe Club for years and has helped organise the world outrigger champs to be held here.

EMBATTLED RGD Group director Ron Grabbe has thanked his loyal team for almost 40 years of service as he vows to try and get the best result possible for creditors.

His construction companies RGD Group Pty Ltd and RGD Constructions Pty Ltd were placed in voluntary administration, with FTI Consulting's John Park appointed late-Friday.

The move has left contractors in limbo, as Mr Park and his team began analysing the companies' financial positions.

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In a letter to creditors on Sunday Mr Grabbe explained a combination of onerous lending conditions, the effects of coronavirus and a "financially catastrophic" project in Brisbane had led to the demise of the companies.

In a statement provided to the Daily on Monday Mr Grabbe said he intended to "work closely with FTI Consulting to get the best possible outcome for the creditors that are affected by this situation".

"This is a very difficult time for myself and my family and for the local businesses whose support we have enjoyed for many years who may suffer loss," Mr Grabbe said.

"I am deeply sorry for any financial stress to others suffered as a result of the company's current financial difficulties.

"I would like to thank the many members of the loyal RGD team who supported me over the last 37 years.

"I am very appreciative of the personal and financial support received from the Clark Family."

Australian Securities and Investments Commission documents showed the sole shareholder of RGD Group Pty Ltd was Gregory Clark.

RGD buildings.The Rhythm on Beach, Maroochydore

His Minyama Island address was the same as that listed by ASIC for Darryl Clark, director of Clark Group Constructions Pty Ltd, a company registered on April 6.

EndED founder and current Sunshine Coast Citizen of the Year Mark Forbes paid tribute to the influence Mr Grabbe's company - which he said became the largest privately-owned construction company in the region - had on the shaping of the region.

"Ron's commitment and belief in the region meant that company profits were substantially rolled back into the company to ensure future growth," Mr Forbes said.

endED founder Mark Forbes outside Mooloolah Valley's endED Butterfly House. Photo: Ashley Carter

Mr Forbes said he and his wife had known the Grabbe family for almost 15 years and he'd worked closely with Mr Grabbe on a number of outrigging initiatives.

He said their efforts had secured four major annual events for the region, as well as pioneering the introduction of adaptive paddling to the sport.

Mr Forbes said Mr Grabbe's expertise had helped for a working committee to bid for the International Sprint Championships at Lake Kawana in 2016, which he said eventually attracted 5000 people to the region and injected $18 million into the local economy.

"My wife and I formed a charity for eating disorders (endED) in 2015 and the first man to put his hand up to help our cause was Ron Grabbe," Mr Forbes said.

"We went on to create an annual charity fundraiser event with Wishlist (Waterlife) and successfully raised funds for Wishlist, endED and the Adaptive paddlers. RGD was the naming rights sponsor."

RGD buildings.RGD office

Mr Forbes said many people would be able to attest to Mr Grabbe's commitment to the region.

"To me Ron built his company on four pillars: Honestly, loyalty, trust and friendship," Mr Forbes said.

"I can only hope that the company continuing with the current RGD projects operate from a similar ethos base and continue the legacy set down by Ron and the RGD Group."

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