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November 19, 2018 By subbiesu

JM Kelly Builders – Listen One & All, There Is A Tale To Tell

Fighting for Subbies Rights

Media has reported that John Murphy has written to the Speaker of the Queensland Parliament seeking a citizens reply in respect of allegedly untrue and defamatory statements made about him in the Queensland Parliament on 30 October 2018 and 1 November 2018.

John Murphy described himself as ‘then General Manager of JM Kelly Builders P/L and JM Kelly Project Builders P/L as of 20 June 2016 and subsequent to that date as Director of JM Kelly Builders P/L from 27 June 2016.

A sample:       In July 2016 certain subcontractors commenced a vexatious ‘campaign’ against JMK PB and JMK. Mr Murphy referred to them as agitators who alleged certain debts were owed and engaged in other conduct ‘all of which is fabricated and fraudulent’.  The ‘agitators’ made mis-representations to other subcontractors, the liquidators, sections of the media, state and commonwealth entities, public servants and politicians.

"I haven't seen what it is that he's said, but let me say I support what it is that he's said... 😂

Under the heading ‘Background‘ Mr John Murphy advised that:

  • In June 2016 the then Director and QBCC nominee (Geoff Murphy) placed JM Kelly Project Builders (JMK PB) into voluntary liquidation arising out of a legal dispute
  • In June 2016 JMK PB were undertaking 3 construction projects for state government entities (CSD Rockhampton Hospital | Emu Park State School| Roma Hospital A/C upgrade)
  • In order to preserve the entitlements of subcontractors and employees of JMK PB and complete the 3 contracts for clients of JMK PB those three contracts were novated from JMK PB to JMK (Builders) by way of Assumption Deeds.
  • The State Government prepared Deeds of Novation that reflected the Deeds of Assumption and that the Deed of Novation obligated JMK to make payment only on the 3 contracts (CSD Rockhampton Hospital |Emu Park State School | Roma Hospital upgrade)

Mr John Murphy responded to allegations saying that:

  • the voluntary administration of JMK in October 2018 was due to the conduct of the QBCC and BAS
  • Minister Mick de Brenni was complicit in the collapse of JMK and sought to impugn his reputation as a result of comments made by the Minister that JMK failed to meet QBCC MFR.
  • the failure of JMK was not due to the unsuitability of JMK executives
  • there was no ‘phoenixing’ in June 2016 (JMK PB – JMK)
  • JMK accepted from JMK PB all employee entitlements | partly completed contracts (3) | subcontractor payment obligations on those contracts and all supplier costs plus all defect management on contracts that had been completed by JMK PB as at June 2016. He further added that the contract transfers were the most suitable commercial transaction for all creditors, all of whom received their legitimate entitlements from JMK and there was no ‘phoenix’ arrangement between entities.
  • there was not 21 contracts transferred from JMK PB to JMK
  • the Biloela State School contract had not been transferred as reported in the media
  • the former Labor Housing Minister (Schwarten) did not approach the then LNP Government seeking hospital work for JMK
  • he was not ‘best mates’ or a ‘lifelong friend’ of the former Housing Minister (Schwarten)
  • he did not make a financial donation to any memberof the Labor party
  • JMK were not given multiple Qld government contracts after the liquidation of JMK PB
  • insinuations by the Housing Minister that JMK failed to meet QBCC MFR were at best misleading and at worst a deliberate attempt to excuse the actions of the BAS and QBCC. He added at no time did JMK fail any MFR requests from the QBCC.
  • neither JMK and JMK PB performed any works on any house owned by the former Qld Housing Minister and there was no variation issued to the government for that work – Mr Murphy said that was a lie.
  • ‘Arising out of the proceedings on 30 October 2018 and 1 November 2018 I have been adversely affected by media reports alleging that I have engaged in conduct to knowingly avoid paying creditors and that I have engaged in corrupt conduct’ 

END CITIZENS REPLY

REMINDER TO RETURN PROXIES  

  1. For those who have signed new contracts to complete state government projects the Administrator cannot recall those funds.
  1. Funds owed to JMK by the state government cannot be used to pay subcontractors except if an approved subcontractor charge is lodged.
  1. Either way there is no reason not to vote the Administrator appointed by the company director out and install Ginette Muller.

YOUR PROXY IS REQUIRED BY MIDDAY TUESDAY 20TH NOVEMBER 2018. Read why its necessary here.

You can access a printable Proxy Vote and Proof of Debt forms here.

Thanks to all of those who have already sent proxies.

Thanks again, its in your own best interest to get this job done.

Les Williams

THE SUBCONTRACTORS ALLIANCE

Filed Under: General News

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ABOUT US

SubbiesUnited is not “anti builder”, we support strong builders.
We are “anti theft” of hard working subbies money.

It’s not just about the builders who go broke, businesses all over Australia Liquidate every day for a variety of reasons.

It’s about the ones that engage in calculated criminal behaviour such as providing false information to the regulators or inducing subbies to work on a site when they know they cannot or are not going to pay them because of a fraudulent scheme. Its about the participation of the banks, pre insolvency advisors and builder appointed Liquidators to fraudulently defeat creditors.

Liquidators should always be appointed by creditors to ensure a thorough investigation takes place.

We want the rogues investigated and prosecuted for fraud. 


  • SubbiesUnited was created to provide subbies with collaborative information on building companies that are showing signs of insolvency or struggling to pay their creditors. The signs are always there, we just need to get the message to each other before it happens.
  • We provide subbies with up to date news on builders in Administration or Liquidation and the best strategies to get a return.
  • There are some extremely litigious builders out there who would rather sue you than pay you. Often they sue you so they don’t have to pay you. We will expose them.
  • The construction industry is renowned for building companies setting up illegal Phoenix operations, shifting assets, then liquidating sending subbies broke. We work with other subcontractor & supplier organisations & Governments to stop what amounts to legalised theft on a massive scale though pre packaged liquidations. Insolvency is used as a means to defraud Subbies.
  • Our aim is to limit the financial damage before it happens with our “members only forum”, an early warning system for the benefit of all our members.

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