Eruliaf Earthmoving, which traded as Fraser Earthworks, appoints liquidator

A Sunshine Coast earthmoving company has cited project disputes and a competitive market as the reason for the company’s financial downfall, as the liquidator reveals a staggering debt.

Fraser Earthworks.

A Sunshine Coast earthmoving company has cited project disputes and a competitive market as the reason for the company’s financial downfall, as the liquidator reveals debts exceeding $3 million.

Liquidator at H and H advisory, Mohammed Shahin Hussain, was appointed as liquidator to Eruliaf Earthmoving Pty Ltd on November 2, 2023 and released his report to creditors on February 1, 2024.

The Australian Securities and Investments Commission report to creditors seen by this publication showed the Chevallum-based earthmoving company, which traded as Fraser Earthworks, was owned by Samuel James Fraser who acted as the company’s director and secretary since the company was registered in September 2011.

The liquidator’s report to creditors, which states the liquidation is still in the “early stages”, shows a total of 16 secured and four unsecured creditors, owed $1,120,762 and $2,518,273 by the earthmoving company respectively.

Mr Hussain said an estimated $2.4m was owed to the Australian Taxation Office.

A number of equipment hire companies are among the secured creditors listed by the liquidator.

The report also identified 18 priority creditors owed about $155,000 in wages and superannuation.

Within the report, Mr Hussain stated the company had ceased operations due to a number of project disputes and an increasingly competitive market causing financial difficulty.

“I note that the company ceased to trade on 30 June 2023, when its business was sold,” Mr Hussain stated.

According to the report the company now traded as Fraser Earthworks & Co Pty Ltd.

Mr Hussain continued in the report to reference a dispute between the company and another company involving $98,585.03, where the responding company claimed Eruliaf Earthmoving’s work “was not to plan”.

Mr Hussain also mentioned in the report Erulief Earthmoving had been bought by two other companies in early 2023, both shared a “common director”, being Mr Fraser.

The report lists uncommercial transactions, insolvent trading and unfair preference payments as possible recovery actions.

Mr Hussain estimated the company would take less than one year to wind up.