Northpower in administration, owes $1m
MANUNDA electrical firm Northpower has appointed an administrator, sacked its staff and ended all work, with debts estimated at more than $1
million.
Administrator Peter Morris, of Foremans Business Advisors, yesterday confirmed his appointment by owner Richard Clarke at 9.30am.
He said money owed to unsecured creditors was estimated between $500,000 and $800,000. One creditor is owed $320,000.
Mr Morris said he did not yet know what was owed to the company’s staff, including office workers and electricians.
"All staff are terminated, all work has ceased and we are conducting a review of work in progress," he said.
"If it is determined there is any value in that work we will need to see how it can be completed, mindful of any Building Services Authority’s considerations."
Mr Morris said other employees had been laid off several weeks ago.
He said in the next week his team would determine what redundancies, leave entitlements and payments in lieu of notice would be made to the remaining staff, taking into consideration their service with the company.
Mr Morris said he had yet to ascertain the proofs of debt from unsecured creditors and what jobs the company was working on.
He said he did not know the extent of its involvement with the $22.2 million community health centre at North Cairns and the $50 million dentistry school at James Cook University at Smithfield.
Workers were given a rostered day off on Monday and then told on Tuesday to collect their tools from various
worksites.
Electrical Trades Union organiser Stuart Traill said he hoped to hold a meeting with the staff within the next couple of days.
"At this stage, they haven’t heard a thing," Mr Traill said.
Mr Traill said he wanted to find out from his members what money they were owed, including superannuation, so he could start negotiations with the administrator.
He said he was also concerned about the future of three apprentices and hoped Skill360 would be able to find them new host employers.
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Concerns: Northpower has gone into administration.
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