Business as usual for Hastie’s New Zealand group
New Zealand companies connected with troubled Australian engineering firm Hastie Group aren’t in receivership, despite the parent company going into voluntary administration in Australia.
NEW Zealand companies connected with troubled Australian engineering firm Hastie Group aren’t in receivership, despite the parent company going into voluntary administration in Australia.
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Hastie Group said it and its 44 subsidiaries in Australia had appointed voluntary administrators due to its mounting financial woes.
Andrew Grenfell, a New Zealand-based receiver, has been appointed to Hastie Holdings – a non-operating company in New Zealand that has no employees and no assets.
But Mr Grenfell says his appointment won’t have any impact on the businesses connected to Hastie in New Zealand, which employ about 500 people.
“The operating entities over here are not in receivership,” he told AAP on Monday.
“They’re still being run by directors and management on a business as usual basis.”
When asked if any of the New Zealand jobs were at risk, he said “it’s up to the directors and management here, and they’ll be running the business as they normally do”.
Mr Grenfell likened the situation to that with ABC Childcare, which didn’t go under in New Zealand despite collapsing in Australia.
He said it was difficult to tell at this point if the problems in Australia would impact the New Zealand businesses as it was “day one” in Australia.
Hastie Group was in talks with banks and new investors in Australia last week but that broke down when Hastie discovered an employee had been falsifying the company’s accounts.
The company’s website says the New Zealand branch was formed in 2001 after winning a contract to provide mechanical services installation at Auckland Hospital.
It has contracts in Auckland, Tauranga, Palmerston North, Wellington and Christchurch, as well as service branches in other parts of the country.
Other NZ-based Hastie businesses included Aquaheat Industries, Professional Building Services, Medical Gas services, Cowley Refrigeration, Gordon Refrigeration and Project Piping.