Mainzeal was a large construction company in New Zealand. It was a large domino that caused many small dominos to fall in slow succession.
Mainzeal was traded recklessly by its directors. Ultimately, the creditors were owed $110m and are unlikely to receive any distribution of any significance.
The liquidators pursed the directors at the High Court and were successful.
Ultimately, the recovery is too low to have any real impact on the creditors who have suffered a loss.
Here, Damien Grant of Waterstone Insolvency and Brent Norling of Norling Law discuss the facts, the legal case and the outcome for creditors. The full analysis is conducted here: