Gold Coast company Amphibia Engineering, which trades as technoPODS, owes $780k to creditors
Creditors to failed Gold Coast tiny home builder Amphibia Engineering say they are owed as much as $780,000, including funds allegedly taken from clients that never received their houses.
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CREDITORS to failed Gold Coast tiny home builder Amphibia Engineering say they are owed as much as $780,000, including funds allegedly taken from clients that never received their houses.
Liquidator Glenn O’Kearney, of GT Advisory & Consulting, was last month appointed to Amphibia Engineering, which traded as technoPODS and other names, including WaterPODS.
Jason Caruana is a director and shareholder with wife Kerry Caruana.
The move followed allegations reported in the Bulletin in January that about a dozen technoPODS clients had paid between $15,000 and $25,000 in deposits for tiny homes that were not delivered.
In one case, a couple alleged they had paid the full amount of $51,340 upfront, but did not receive a house.
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Mr Caruana could not be contacted for comment on Monday nor could Mr O’Kearney.
Last month, Mr O’Kearney reported to the Australian Securities and Investments Commission that he had been advised of $780,761 owed to creditors.
The largest amount owed to a secured creditor is $30,676 to A & L Windows Pty Ltd, based in NSW, while the largest amount owed to an unsecured creditor is $54,753 to Bretts Timber and Hardware based in Brisbane.
Eleven tiny home buyers are listed owed between $18,000 and $51,340.
Eight employees are listed as owed $31,000.
The total amount reported to be owed by Amphibia far outweighs the listed assets, which include $47,000 worth of work in progress, and adds up to $94,500.
Amphibia Engineering was founded in 2015 by UK-born Jason Caruana.
Mr Caruana marketed the homes at people who wanted a property without a large mortgage while at the same time reducing their carbon footprint.
On December 29, Mr Caruana allegedly told staff at his Steiglitz-based company that the business would cease with “immediate effect” and all employee contracts would be terminated.
“Unfortunately in the last week my personal circumstances have changed significantly out of the blue,” he allegedly wrote in an email to staff. “I won’t go into details, however what it means is I need to cease the business with immediate effect until these circumstances can be resolved.”
EARLIER: MARCH 20: CONTROVERSIAL TINY HOMES COMPANY IN LIQUIDATION
LIQUIDATORS have been appointed to a Gold Coast company accused of ripping off tiny home buyers by taking deposits and failing to deliver the houses.
Jason Caruana is a director and shareholder with wife Kerry Caruana of Amphibia Engineering, which traded as technoPODS and other names including WaterPODS, and sold tiny homes.
In January they applied for the Federal Government’s temporary restructuring relief designed to help businesses through the COVID-19 pandemic.
On Friday Glenn O’Kearney, of GT Advisory & Consulting, was appointed liquidator to Amphibia Engineering.
It comes after the Bulletin revealed in January that more than a dozen technoPODS clients had alleged they paid between $15,000 and $25,000 in deposits for tiny homes that were not delivered.
One client said she had given Amphibia Engineering her life savings for the home.
On December 29, Mr Caruana allegedly told staff at his Steiglitz-based company that the business would cease with “immediate effect” with all employee contracts terminated.
Mr O’Kearney was not available for comment while Mr Caruana did not return phone calls.
EARLIER: JANUARY 27
THE founder of a Gold Coast company accused of ripping off tiny home buyers signed a $600,000 lease for a rural NSW property months before revealing his business was in financial distress.
Jason Caruana is a director and shareholder with wife Kerry Caruana of Amphibia Engineering, which traded as technoPODS and other names including WaterPODS.
On Friday they made a declaration of eligibility for temporary restructuring relief revealing the business is insolvent or about to be insolvent and giving them three months to restructure the company in order to pay its creditors.
Before that, Mr Caruana allegedly told eight staff that the company was to cease operating immediately and all jobs would be terminated.
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The restructuring declaration followed allegations a dozen technoPODS clients paid between $15,000 and $25,000 in deposits for tiny homes that were not delivered.
One client said she had given Amphibia Engineering her life savings for the home.
The contractor that has built the homes — Bretts Hardware and Timber — confirmed to the Bulletin that it is holding 10 of the houses until payment is received from Amphibia Engineering.
The Bulletin can now reveal that in July Mr Caruana registered another company called Technopods Mullumbimby with Mrs Caruana as co-director.
Mr Caruana then signed a long-term, $600,000 lease with the owners of a wellness retreat called The Hinterland Retreat near Mullumbimby.
A former Amphibia Engineering employee, who wished to remain anonymous, said Mr Caruana intended on running the resort and building an eco village of tiny homes on the 33ha property.
The employee said Mr Caruana raised investment through $25,000 convertible notes promising a 10 per cent return upon redemption in 18 months.
The Bulletin has confirmed the lease is in place.
Mr Caruana did not return multiple calls from the Bulletin.
Boat builder Murray Courtman, 64, said he worked for Amphibia Engineering for a year making the tiny homes.
He said Mr Caruana was always behind with his wages.
“He has obviously always had money problems … we were always short of materials pending him paying the bills,” he said.
“We knew that he was not turning over enough business to move forward.
“We were always a week or two behind in getting paid.”
Mr Courtman said his job was terminated in December.
He has laid a complaint with the Australian Taxation Office over unpaid superannuation.
Mr Courtman said Mr Caruana often travelled to Byron Bay and had advertised for expressions-of-interest in investing in his eco village.
EARLIER: JANUARY 23
A GOLD Coast business has been accused of taking $300,000 in deposits for “tiny homes” and failing to deliver them.
Amphibia Engineering, which traded as technoPODS and other names including WaterPODS, was founded in 2015 by UK-born Jason Caruana.
Mr Caruana marketed the homes at people who wanted a property without a large mortgage while at the same time reducing their carbon footprint.
It is alleged technoPODS owes at least eight workers more than $30,000 in unpaid wages and other entitlements.
Mr Caruana did not return multiple calls and text messages from the Bulletin.
The phone line for the company headquarters has been disconnected.
On Friday, Mr Caruana and wife and co-director Kerry Caruana made a declaration of eligibility for temporary restructuring relief.
This federal government initiative extends through to March 31 and is designed to help companies during the COVID-19 pandemic.
The measures include increasing the amount that must be owed to a creditor from $2000 to $20,000 before a creditor can issue a statutory demand and providing a company director with temporary safe harbour from personal liability for insolvent trading.
A NSW resident, who did not want to be named, said she was one of about a dozen clients who paid a deposit for a tiny home under a “rent to own” scheme, but is yet to receive her house.
The tiny homes are at Bretts Hardware and Timber’s manufacturing facility in Geebung where they remain under lock and key as the company has not been paid by Mr Caruana.
A spokesman at Bretts confirmed the company was holding 10 of the tiny homes until payment was received.
The client said “all up” she has paid $20,000 for her home, including the cost of transportation to the Central West region of NSW where she lives.
“He holds all the strings right now. He won’t return anyone’s calls. He won’t email back.”
She said she first contacted technoPODS in July last year.
“They were doing these end-of-year sales, basically cookie-cutter tiny homes.
“We were supposed to have the delivery in October and he has been stuffing us around since then.”
She said the rent-to-own scheme worked whereby the client paid an initial deposit, the tiny home was built and delivered, and then the customer paid $280 a week in rent, plus interest, over a three-year period until the house was paid off.
She said she first twigged to the fact something was wrong when Mr Caruana stopped sending “progress photos”.
“He kept making excuses ... then using COVID as an excuse.
“Two weeks before Christmas he started indicating ... he had financial issues.”
On December 29, Mr Caruana allegedly told staff at his Steiglitz-based company that the business would cease with “immediate effect” with all employee contracts terminated.
“Unfortunately in the last week my personal circumstances have changed significantly out of the blue,” he allegedly wrote in an email to staff.
“I won’t go into details, however what it means is I need to cease the business with immediate effect until these circumstances can be resolved.
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“I know the timing is shitty but trust me what has happened on my side is very major and has wide reaching impacts on me and my family.”
Mr Caruana allegedly told staff that he planned to continue the business, but must first “address the challenges in front of me as a priority”.
A former employee at technoPODS told the Bulletin she felt “devastated” by what had happened.
“I feel devasted for myself and all employees,” she said.
“I also feel so sad for the customers. So many lives have been impacted and I hope there is a resolution for everyone.”
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