Luxury Melbourne construction company VCON in financial turmoil

High-end construction company VCON, known for its award-winning projects across Melbourne, has hit financial strife, sacking staff and putting a key corporate vehicle into liquidation.

A luxury construction company known for its award-winning projects across Melbourne’s has hit financial turmoil. Picture: Instagram

A luxury construction company known for its award-winning projects across Melbourne has hit financial turmoil, sacking staff and putting a key corporate vehicle into liquidation.

VCON Group and VCON (Aust) have been put into liquidation, documents lodged with the corporate regulator show.

The companies appear to be the key businesses holding the assets of luxury builder VCON which operates across Melbourne’s southeast and on the Mornington Peninsula.

The Herald Sun has been told around 40 staff were laid off in a company meeting on Friday, when the liquidation was announced to employees.

VCON (Aust) Pty Ltd has been put into liquidation. Picture: Instagram

The Herald Sun has been told around 40 staff were laid off in a company meeting on Friday. Picture: Instagram

It’s unclear what impact the liquidation will have on existing VCON customers.

The company did not answer phone calls on Tuesday although its website continues to operate.

A former employee alleged she was made redundant two months ago but had still not received her annual leave and redundancy entitlements.

She claimed she was owed upwards of $17,000 from the company.

“They have ignored my emails and letter of demand my solicitor sent. I have now ended up putting a Fair Work entitlement claim in,” she said.

It’s unclear what impact the liquidation will have on existing VCON customers. Picture: Instagram

The company also worked on the $40m development of Jackalope Hotel in Merricks North. Picture: Instagram

A former contractor of VCON claimed he was owed more than $30,000.

“I’ve been trying to email the director and chase up invoices for over two months and he’s never bothered responding,” he told the Herald Sun.

“I’m a small fish in the sea, I understand there’s some contractors owed $150,000.

“They’ve made that many contractors angry, there was an incident at one of their projects where they tampered with the water mains and put the concrete down the plumbing.

“Millions of dollars worth of damage on that project just from contractors not getting paid.”

VCON had various luxurious, award-winning developments, including apartment building Fawkner House in South Yarra.

The company also worked on the $40m development of Jackalope Hotel in Merricks North which included a 143-year-old homestead and winery with a 46-room hotel.

VCON described itself as “one of Melbourne’s most prestigious construction companies; building some of the most complex, high-end, architecturally designed projects in Australia for over 20 years”.

Apartment building Fawkner House in South Yarra. Picture: Instagram

A former contractor of VCON claimed he was owed more than $30,000. Picture: Instagram

VCON had various luxurious, award-winning developments, particularly in Melbourne’s southeast. Picture: Instagram

Grant Thornton’s Andrew Hewitt and Matthew Byrnes were appointed joint liquidators on Friday.

A Grant Thornton spokesperson said the companies had ceased trading.

“The liquidators are currently undertaking investigations into the company’s financial position, including an immediate review of any projects that were underway and still to be completed as well as the collection of retention amounts on completed projects,” they said.

“The outcome of these reviews will determine the best way forward for the companies and their creditors, and to support employees and other stakeholders.”

Brothers Anthony and Robert Morton are listed as directors of the company.

They also founded another construction company in Melbourne, Element Five, which focuses on high end multi-residential and commercial projects.

VCON has been contacted for comment.