Mainzeal stopped work at the complex on Wednesday and yesterday security guards prevented access to working areas. Photo / Greg Bowker
The collapse of Mainzeal Property and Construction will cost Auckland ratepayers millions to settle a leaky-building claim.
The Auckland Council and Mainzeal were jointly liable for a multi-unit leaky-building case that was being settled in the old Auckland City Council area.
But with Mainzeal in receivership, the council's general counsel,
Wendy Brandon, said that left the council as the "last man standing", with an extra burden on ratepayers of several million dollars.
"Unfortunately, as is often the case, the other parties have gone bankrupt or disappeared or can't pay and the council is left with the burden of the costs," Ms Brandon said.
Sally Grey, who manages the council's weathertightness claims, would not name the multi-unit claim.
