The liquidator of a collapsed Victorian construction firm, Area Projects Pty Ltd, has uncovered a trail of missing millions, with the company’s director, Brett Mcgauchie, at the center of the controversy.
The firm, which was in business for almost three decades, went bust last year, leaving creditors owed at least $2.3 million.
A Mysterious “Director’s Loan”
According to the liquidator’s report, Mcgauchie may have transferred $2.5 million to himself as a “director’s loan” in the months leading up to the company’s collapse.
This amount is more than the total debt owed to creditors.
The liquidator, John Morgan of BCR Advisory, has been trying to track down the company’s assets, but so far, he has only found an overdrawn bank account with a balance of $20.
Uncovering a Pattern of Suspicious Transfers
The liquidator’s investigation has revealed a pattern of suspicious transactions, with customer deposits being immediately transferred out of the business to other bank accounts, presumably under Mcgauchie’s control.
These transfers totaled $2.545 million in the 18 months preceding the company’s collapse.
The liquidator has expressed concerns that Mcgauchie may have benefited from these payments, but further investigation is needed to determine the nature of these transactions.
A Web of Deceit and Missing Assets
The liquidator’s report has also raised questions about the sale of $21,000 worth of assets to an unrelated company before the liquidator took over.
The proceeds from this sale are unaccounted for, and the liquidator is still trying to determine what happened to the money.
Additionally, property records show that a Melbourne home worth around $1.7 million was transferred to someone else for zero dollars just a few months before the company’s collapse.
Homeowners Left in Limbo
More than a year after the company’s collapse, homeowners who are owed money are still trying to recoup their losses.
One customer, who wished to remain anonymous, told news.com.au that they had signed a contract with Mcgauchie in 2018 and are still hundreds of thousands of dollars out of pocket.
“He walked away into the sunset,” the homeowner said. “You can see all the carnage. It’s horrendous.”
The Investigation Continues
The liquidator has vowed to continue the investigation, saying that it is “far from over.”
Mcgauchie could face an insolvent trading claim of up to $742,000, and the liquidator is still trying to determine the extent of his involvement in the company’s financial dealings.
As the investigation unfolds, one thing is clear: the collapse of Area Projects Pty Ltd has left a trail of devastation in its wake, with many still searching for answers and justice.