Jean Nassif, Toplace: The 97 creditors owed $633 million from fugitive property developer

Tradies, staff, and residents living in defective apartment towers are bearing the financial load of the collapse of fugitive Jean Nassif’s property empire. See the full list of creditors.

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Contractors brought in to fix defects in the failed Toplace developments have been forced to sell their homes, as the multimillion-dollar trail of destruction of the disgraced developer’s empire is realised.

A total of 54 contractors are pleading with administrators to recoup millions of dollars in outstanding funds owed by Jean Nassif’s Toplace, as well as 76 other entities owned by the wanted man.

Many of the out-of-pocket tradies and development specialists bearing the financial burden of Toplace’s collapse have revealed they were brought on “in the dying moments of the company” to fix a multitude of defects in the residential buildings.

Nassif’s housing empire collapsed in July last year when his building licence was suspended, apartment complexes were hit with defect notices and a warrant was issued for his arrest by NSW Police over fraud-related charges after he travelled to Lebanon and did not return.

The defects were uncovered following investigations by the NSW Building Commissioner, David Chandler, who then slapped Nassif with a series of rectification orders and the threat of hefty fines.

Wanted property developer Jean Nassif. Picture: Liam Mendes / The Australian

Innovative Structures Group boss Daniel Rostami was one of several contractors brought in to fix defects in Toplace-built developments, before being left chasing funds.

“Employees were jumping ship in the months leading up to the collapse,” Mr Rostami said. “Every time we would call to chase payment there was a new person dealing with our invoices.

“That is when we knew something was wrong, we knew we were going to have trouble.”

The Melbourne-based engineering specialist’s firm says it is owed more than $154,000 for works completed to address defects at the Castle Hill towers, but Mr Rostami said he isn’t convinced he will be paid for his services.

“The pool of funds from properties is dwindling as more claims come in, there is desperation from contractors who need to be paid,” he said. “It is not like Jean Nassif cares about us, the contractors who have built his portfolio, he has fled the country and now we are picking up the pieces.”

Innovative Structures Group boss Daniel Rostami - owed $154,154 by Toplace. Mr Rostami was a structural engineer brought in to address defects in the residential towers in Castle Hill. Picture: David Smith

Mr Rostami said the collapse had a “flow-on effect for businesses across the country” as staff wages, insurance and “bad debt” sees financial pressures grow.

“We were ripped off by Nassif and Toplace, and for a small business that is a sink or swim ultimatum.”

A total of 97 creditors made up of former staff, contractors, and homeowners in strata plans have made claims to recoup $633 million in outstanding funds to Toplace administrator DVT Group following the collapse of the development firm last year.

It is understood the administrators called for affected creditors to revise claims when they met on Friday for their second creditor’s meeting following six months of investigative work.

One long-serving contractor, who did not wish to be named, is owed more than $1 million from Toplace, and said he was forced to sell his home following the collapse of the company.

“We were blindsided,” the tradie said. “I was a contractor with Toplace for 22 years.

“The NSW Government needs to ensure contractors are protected in the building industry from company collapses during the development approval process.

“They need to make sure that this doesn’t happen to another small business like mine in the future – NSW Planning should be required to see proof of funds for a development before it is approved.”

Works being done to fix defects at a Toplace apartment complex in Botany.

Cracks in the basement carpark ceiling of the Toplace Botony development which has been patched.

Sydney-based Matthew Wills, of engineering firm Rincovitch, is owed $138,000 for unpaid projects, and said he kept Toplace “on a tight leash” when it came to funds owed to him.

“We were brought in to fix Nassif’s mess and the defects in his apartment buildings and now we are facing the financial burden of Toplace’s collapse,” he said. “We don’t know if we will ever see what is owed to us, so we were forced to write it off and move forward – you need to get on with business.”

Dozens of creditors met with administrators on Friday to learn of options being considered to recoup funds for creditors, and how cash would be distributed.

DVT administrators Antony Resnick and Suelen McCallum said in a statement on Friday that an estimated $300 million in funds had been secured for creditors, with a “myriad of interrelated company loans, creditors, and payments from Bankstown to Beruit”.

“We are now determined to chase down every available asset for creditors and we are confident that there are substantial assets yet to realise,” the administrators said.

The administrators asked for 45 days to investigate “intercompany accounts” from 2023, before all creditor funds are pooled together and cash is distributed to contractors and strata plans.

“We understand that all creditors are seeking clarity, that no solution in a complex administration is the perfect solution and that questions as to the commercial activities of Toplace remain to be answered,” the administrators said.

‘NASSIF BETRAYED US’: TOPLACE STAFF

Former Toplace employees have secured their outstanding pay and entitlements – but that hasn’t stopped a small team of senior representatives staying on to try to “fix the messes of Jean Nassif”.

A team of former Toplace employees have joined forces with administrators to sell off hundreds of millions of dollars worth of completed developments across Sydney, in an effort to claw back cash to pay creditors owed hundreds of millions.

The work of former employees turned sales representatives for administrators comes as several staffers claim there were still ex-staffer “rats in the ranks”, accused of leaking “sensitive information” from the liquidation process to their former boss hiding out in Lebanon.

“I am not here to help Jean Nassif,” an employee said. “But there are some former staff that are still leaking information to him – they are still loyal and think that Toplace could be saved and returned to him.”

Apartments across Sydney still owned by Toplace will be sold off in order to recoup funds for out-of-pocket creditors. Picture: Justin Lloyd.

One employee owed thousands of dollars, who did not want to be named, described the collapse of the Toplace empire as “entirely Jean’s fault”, telling the Saturday Telegraph their outstanding pay packets “showed the lengths of the betrayal”.

“The disregard and refusal to pay loyal contractors and staff is disgusting,” the former staffer said. “It is just sad that so many were loyal for so long.”

Another employee, who described the business tactics as “bullish and naive”, said investigators found the disgraced development boss was deferring payments to hard-working contractors for months before the firm collapsed.

“There is a team doing everything they can to fix as many of the wrongs, and they won’t give up until creditors have answers.

Toplace property developer Jean Nassif’s business tactics were described as “bullish and naive” by former staffers.

“Administrators are now undertaking the approach Nassif was advised to take before his empire collapsed – sell assets in order to claw back debt.

“But the Toplace name and buildings are tainted and there are concerns about outstanding issues with the building commissioner, this will be a perfect storm for a fire sale, and everything must go.”

Sources close to the sale of Toplace assets confirmed that properties had already been sold, but “cash wasn’t in administrators accounts yet” to be distributed to creditors.

“There has been an active campaign to sell completed apartments, whole development sites and even incomplete ones”.

GOVERNMENT’S $20M BID TO FIX DEFECT TOWERS

The NSW Government will dust off never-before-used legal powers to extract $20 million from fugitive Jean Nassif’s collapsed Toplace to fix dangerous defects in developments.

A legal representative of the NSW Government’s Customer Service Department moved to apply for $20 million in claims to Toplace liquidators DVT Group, as sources confirm the NSW Building Commissioner’s plans to secure funds to remedy defects in the Canterbury-based ‘Vicinity’ residential project.

Vicinity Apartments in Canterbury at 11-15 Charles Street. Pic Supplied.

A claim for “building rectification orders” was lodged by the head of legal at the NSW Building Commission in July to DVT Group’s Suelen McCallum and Antony Resnic.

The orders came just days after NSW Police issued a warrant for Nassif’s arrest over fraud allegations, the NSW Civil and Administrative Tribunal suspended his building licence for 10 years and the Building Commissioner slapped Toplace with a series of defect notice.

Fair Trading warned administrators that if defects in the concrete slabs and support columns at Charles St, Canterbury were not fixed, it could result in a “threat of collapse” or “destruction of the building”.

Partly built Skyview, in Castle Hill, by Jean Nassif's now barred Toplace developer. Picture: Justin Lloyd.

Nassif’s Toplace was hit with building rectification orders for defect at Affleck Circuit, Kellyville in August 2023, Old Northern Rd, Castle Hill in June 2021, Canterbury Rd, Canterbury in August 2023, and three sets of orders at Charles St Canterbury between February 2022 and August 2023.

A major residential development in Botany was also hit with a notice in August 2023.

A Fair Trading spokesman confirmed Toplace was still subject to a number of building work rectification orders.

“The remediation required by those orders is not complete”.

The spokesman said the $20 million figures was “the estimated value of remedial work” required for the Vicinity project.

“The proof of debt document also informed the voluntary administrator that, in dealing with the assets of Toplace, it should take account of the serious defects that required remediation as required by the building work rectification orders before they could be sold,” he said.

The legal powers used to extract funds from the disgraced Toplace firm has never been used before

It is understood the Building Commission was not aware of any plans to fix defects in the Vicinity project by the administrators.