A major subbies lobby group is calling for the removal of the administrators appointed to failed building giant Privium because of a possible conflict of interest.
CITY BEAT Glen Norris 3 min read November 19, 2021 - 8:11PM The Australian Business Network
A major subbie group is calling for the removal of the administrators appointed to failed building giant Privium because of a possible conflict of interest.
Privium director Rob Harder called in FTI Consulting on Wednesday after the Logan-based building giant left hundreds of homes unfinished across the country and debts of at least $28m. Subbies United’s John Goddard claims there is perception that a director-appointed administrator is not likely to do as thorough an investigation as one appointed by creditors. “The main concerns of the company’s creditors is how much information passed between the director and the current administrators prior to the actual date of their appointment,” Goddard says. He says the perception of conflict becomes a concern to creditors when discussions with the director took place over several days or weeks.