Collapsed firm Mainzeal owes $120 million to creditors

By on September 28, 2016
Collapsed firm Mainzeal owes $120 million to creditors

Liquidators of collapsed firm Mainzeal have rejected more than $36 million worth of claims made by out-of-pocket creditors.

About 1400 claims have been made by creditors claiming $157.7m since Mainzeal Property and Construction - the country's third biggest construction firm at the time - was put into liquidation in 2013.

As at September 23, liquidators Andrew Bethell, Brian Mayo-Smith and Stephen Tubbs, of BDO said they had "admitted" 1382 of those claims - worth $108.4m - and rejected claims worth $36.5m.

In the latest liquidators' report, Bethell, Mayo-Smith and Tubbs said they were continuing legal action against the company's directors.

The liquidators allege the directors, including former Prime Minister Dame Jenny Shipley, were responsible for allowing the firm to trade recklessly.

Read the full article by Chloe Winter > Business Day -