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.

In part.

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:

You may also like

Who Pays the Insolvency Practitioner?
So an insolvency practitioner has been appointed. So who pays his bills? The creditors? The person who appointed? The shareholders? Or? In this video Brent Norling gives a quick rundown of who is required to pay the practitioner’s [...]
How Funds Are Distributed in a Liquidation
If you find yourself in the unfortunate position of being owed money from a company in liquidation, then this video is for you. When a company is liquidated there is a priority regime that must be followed when it comes to [...]
Collecting Company Debts: The Squeaky Wheel Strategy
If you are owed money from a debtor company, there are two reasons why you should consider initiating liquidation proceedings. However, commencement of liquidation proceedings is a great strategy to obtain payment from a debtor [...]
12317

Page 1 of 17