An order was made in the High Court in Dunedin last month to place the company into liquidation and Elizabeth Helen Keene and Luke Norman, of KPMG, were appointed as joint and several liquidators.
Burns Group 2018, whose sole director is Dunedin businessman Malcolm John Burns, operated as a holding company with passive investment of three subsidiary companies: Forest Distribution and Logistics Ltd, Otago Excavation Ltd and Titan Bulk Haulage.
Because of the liquidation of Otago Excavation Ltd, which is in receivership, the company faced financial difficulty and was unable to meet its obligations, the report said.
The receivers’ first report for that company, back in January, showed it owed creditors more than $3.3million.
The liquidators for Burns Group 2018 Ltd spoke with the director of the company to gain an understanding of the business and the issues the company faced leading to the liquidation.
Information had been requested from the director so they could determine any available assets belonging to the company, including potential recoveries and/or claims.
They were yet to receive that information.
They had made inquiries with the secured creditor regarding the company’s servers holding the its electronic information.
"After having received our request for this information, the company’s records were destroyed, without our approval," the report said.
"We are therefore making further inquiries to obtain the company’s financial information."
The director believed the company was solvent and the liquidators had been in correspondence with him and the company’s advisers.
They were awaiting a proposal from the director.
Total liabilities had an estimated value of $499,966.
At this stage, it was not possible to provide an estimated date for the completion of the liquidation.
