The director has declared personal bankruptcy while staff and creditors are pointing the finger at a major master franchisor with offices across Australia.
Alex Turner-Cohen @AlexTurnerCohen 4 min read October 19, 2023 - 7:26AM news.com.au
EXCLUSIVE
Staff and suppliers have been left fuming after a franchise from a major building chain collapsed, leaving them out of pocket with little hope of recovering any money.
News.com.au can reveal that Harris Constructions Pty Ltd, a building company based in Ipswich in Queensland, is no longer operating.
Harris Constructions was trading under the name GJ Gardner Homes Springfield/Ripley as it was part of the GJ Gardner business, a major building franchisor which has nearly 100 building companies and offices dotted around Australia.
The eponymous director of Harris Constructions, Iain Harris, declared himself bankrupt on August 9. Andrew Aravanis is the appointed trustee overseeing the term of Mr Harris’ three-year bankruptcy.
Mr Harris owes $1.8 million to 46 creditors, including the tax office, tradies and financial institutions, according to a document the trustee sent to creditors. Between 25 to 30 homeowners were impacted from the venture going bust.
Tradesmen and staff are furious as they claim they received multiple assurances from the GJ Gardner Homes master franchisor that they wouldn’t let the Springfield business fold and that debts would be honoured.
A spokesperson for the franchisor denied this, telling news.com.au “At no time did G.J. Gardner Homes head office encourage trades or staff to continue working for the franchise or take on its responsibilities”.
Iain Harris has declared personal bankruptcy over the debacle.
Tom* had held various roles at numerous GJ franchises for nearly a decade and had been at the Springfield branch for three years.
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