Danny Isaac’s Descon Group Australia and Adcon Group in liquidation and administration

Debts of Descon Group Australia are expected to climb above $300m as liquidators in three states pick apart the remains of the collapsed companies. Here’s a snapshot of some of the failures:

Descon Group Australia, parent company of a swathe of struggling companies with construction projects across Australia is in liquidation.

Debts of the group are expected to climb above $390m as liquidators in three states pick apart the complex remains of the collapsed companies.

Here’s a snapshot of some of the failures:

Descon Qld

Director: Danny Isaac

Projects: Waverley Southport

Status: In voluntary administration since April 2024

Estimated debts: $169m

Administrator findings: Directors have proposed a Deed of Company Arrangement.

Descon VIC

Director: Danny Isaac

Projects: Apartment building in Kensington, Victoria

Status: In court-ordered liquidation since November 2023

Estimated debts: $7.9m

Liquidator findings: Insolvent as early as July 2019, books and records not kept, “potential unreasonable director related transactions of around $5.4m paid to the director and/or related parties”.

 

15 Waverley St development in Southport nearing completion. Picture Glenn Hampson

Adcon Structural Steel

Director: Danny Isaac

Projects: Supplier to projects in Sydney

Status: Court ordered liquidation, November 2023.

Estimated debts: $5.4m

Liquidator findings: Company traded insolvent from March 2022, books and records not kept, “mismanagement of the business”, “transactions totalling $2.44m that were made from the Company’s bank accounts in October 2023 that require explanation”.

 

Adcon Contracting

Director: Mahar Bitar, previously Danny Isaac

Projects: Metro Tunnel, Victoria, other transport infrastructure.

Status: Court liquidation, December 2023

Estimated debts: $3.95m

Liquidator findings: “Insolvent as early as 22 July 2016”.

 

Artist impressions of Akin Residences at South Brisbane, which was under construction by Descon Group Australia but is now in receivership.

Adcon Management

Director: Danny Isaac

Projects: Labour hire to Adcon/Descon

Status: Liquidation since November 2023

Estimated debts: $25m

Liquidator findings: Failed to keep books and records, “may have been insolvent from at least 31 December, 2018”.

Adcon Resources Vic

Director: Joumana Al Hamdani, former director Danny Isaac

Projects: Operated in Victoria

Status: COurt wind-up August 2, 2024.

Estimated debts: Unknown

Liquidator findings: TBA. Company was wound up in Federal Court of NSW after an application by the Deputy Commissioner of Taxation, supported by Workcover Victoria

Adcon Admin

Director: Danny Isaac

Projects: Provided labour to related companies

Status: Court-ordered liquidation, April 2024

Estimated debts: $14m, including $2.54m in unpaid employee entitlements

Liquidator findings: Potential insolvent trading, uncommercial transactions, fail to keep records, unfair director-related transactions and "fraudulent dispositions".

 

Chale

Director: Danny Isaac

Projects: Holding company

Status: Court-ordered liquidation, April 2024

Estimated debts: $553,709

Liquidator findings: Potential insolvent trading

 

Descon Group Australia

Director: Danny Isaac

Projects: Akin Residence,South Brisbane, Parent company to Descon/Adcon

Status: Court ordered liquidation, May 2024

Estimated debts: $72m

Liquidator findings: Mr Isaac “may have used company funds to pay for personal use assets (among other things)” and that there were almost $82 million in “unfair preference, related party unfair preference and unreasonable director-related transactions”.

Adcon Vic

Director: Danny Isaac

Projects: Rail projects in Victoria, Cross Yarra Partnership

Status: Voluntary administration

Estimated debts: $94m

Administrator findings: Creditor meeting was adjourned so the director could propose a Deed of Company Arrangement, but no deed had been forthcoming. Administrators have found "potential voidable transactions of $7.2m" but have been hindered by a lack of financial records.