Third liquidation offer for the Burns companies
A third liquidation petition has been filed against a company associated with the Burns group.
Yesterday a public notice was published stating that Southland quarrying company J Crooks & Sons Ltd had filed an application with the High Court in Dunedin to wind up Otago Excavation Ltd.
Excavation company Mosgiel is owned by Burns Group 2018 Ltd – which also owns Titan Bulk Haulage and Forest Distribution and Logistics Ltd – and the latest claim is the third to be made against one of the group’s companies this year.
In March Lloyd Heslop Motors of Nelson filed for liquidation of Titan Bulk Haulage in Dunedin High Court. Last month, truck parts company Wellington Multispares NZ Ltd also tried to liquidate the business. Both cases were settled out of court and were not heard.
Titan Bulk Haulage had its assets taken over last year by Kiwibank subsidiary Kiwi Asset Finance. A report prepared by Kiwi Asset Finance after the repossession, which was publicly available on the Companies Office website, said Titan Bulk Haulage owed the finance company $1.47 million.
A source told the Otago Daily Times Otago Excavation’s debt to the quarry company yesterday was for gravel it bought to set up a yard in Bluff about three years ago.
The debt was worth about $280,000, the source said.
When contacted yesterday morning, Burns Group co-owner and managing director Malcolm Burns initially claimed to be unaware of the request or public notice.
“It’s new to me…I’m going to have to go in there and take a look,” he said.
However, later that afternoon he said the matter had been settled.
J Crooks & Sons lawyer Rex Chapman of Invercargill law firm Cruickshank Pryde declined to comment.
The application will be heard next Thursday.