Fears are growing that the collapse of the Grocon empire could cause small companies — who have provided work and services to the construction giant — to go broke after not being paid.
Andrew Koubaridis and John Dagge, Herald Sun - Subscriber only|November 20, 2020 8:00pm
Angry business owners have hit out at the Grocon empire amid fears the collapse of the building giant could cause smaller companies to go broke.
business owners have hit out at the Grocon empire amid fears the collapse of the building giant could cause smaller companies to go broke.
The company, which has been behind skyscrapers throughout Australia, is expected to appoint administrators to take control this weekend after plunging into $60m worth of debt.
A Melbourne-based building products supplier said the collapse of Grocon risked setting off insolvencies among smaller businesses that had provided work and services to the construction giant.
The business owner, who asked not to be named, estimated he was owed between $1.5m to $2m for work on the Northumberland project in Collingwood.
“There are a lot of us tied up in this and we are talking about a lot of money — big, big numbers,” he said.
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