A southeast Melbourne builder has collapsed owing half a million dollars to creditors, after it was involved in a legal dispute and suspended by a building regulator.
GJC Builders (Vic) Pty Ltd, based in Cranbourne, entered liquidation at the end of June.
It owed 20 unsecured creditors a total of $514,944, according to reports.
They included the Australian Taxation Office (ATO), to which the company owed $167,709.
The company also owes $7,298 to Allianz Australia in workers compensation, $8,827 to Bunnings, and $1,492 to Westpac.
Insolvency accountants Adam Cormack and Jonathon Colbran from RSM Australia Partners were appointed liquidators on June 23.
They reported no cash at bank at the time of collapse, and $27,594 in other assets, though it was unclear whether those would be realisable.
According to Australian Securities and Investments Commission (ASIC) records, the business was registered in 2008 and based in Cranbourne West. Giacomo Cosentino was listed as its director.
A Melbourne-based building company has gone under, owing more than half a million to creditors (stock image)
A restructuring practitioner was appointed to the company in April this year.
It had also been subject to a winding up order in the Supreme Court of Victoria, launched by Sam Painting Group in June 2024.
Last year, the Building and Plumbing Commission – then known as the Victorian Building Authority – took disciplinary action against GJC Builders.
The commission accused the builder of failing to comply with a dispute resolution order issued by Domestic Building Dispute Resolution Victoria.
The company received a $5,000 fine in August 2024 and was suspended from conducting any work beyond complying with the order.
GJC Builders’ registration lapsed in November.
Trade creditors to the company included Beenak Concrete and Formwork, owed $11,627; Boronia Concreters, owed $76,148; Bowens, owed $13,555; Casey Screens owed $7,649; Hangan Steel, owed $96,310; and Ladner’s Constructions, owed $22,500.
Other creditors to the company included Yokor Windows, owed $5,313; Vic Lining Services, owed $22,652; Sunflower Kitchens, owed $2,509; Smart Tiler, owed $16,758; Shiny Kitchens, owed $5,047; and Pugliese Constructions, owed $5,995.
Several builders collapsed in the year to March 2025, as construction sector insolvencies surged past pre-pandemic levels (stock image)
ASIC data showed a 23 per cent rise in construction company insolvencies in the 12 months to March 2025.
More than 2,600 home builders collapsed over the period.
The construction sector at present accounts for 28 per cent of all external administrations in Australia, with insolvency figures surpassing pre-pandemic levels.
More to come.
