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Demands are growing for a Government "clean-up" of the building industry as the investigation into sub-standard timber widens.
A Department of Building and Housing investigation into how large volumes of non-load bearing wooden frames and trusses got on to the market is now in its third week. Thousands
of homes across Auckland and Northland could be affected.
Building and construction minister Maurice Williamson said there was evidence that a manufacturer may have breached the Fair Trading Act. He said the DBH report and the name of the manufacturer would be referred to the Commerce Commission for further investigation.
"A second manufacturer was investigated, but there do not appear to be grounds to take further action in this case," said Williamson.
Many of the non-compliant timber components were sold through giant chain stores such as Bunnings and Placemakers.
Placemakers chief executive David Edwards said the company was one of several building supplies retailers to have "unwittingly bought non-compliant frames and trusses" from two Auckland fabricators.
"We have suspended our commercial relationship with the two subcontractors found to have supplied the frames and trusses in question. Until now we have always trusted that our subcontractors would deliver product as quoted, and that council compliance checks by building inspectors were sufficient. Most of the time that is exactly what happens, but, in this case, we and other building supplies retailers have been let down by these two sub contractors."
Edwards said 2 per cent of the company's frames and trusses were supplied by the two subcontractors.
"We are still working back through our sales records, but I can confirm that Placemakers has supplied affected frames and trusses to 119 houses since January 1 this year."
It is feared that home owners with substandard timber already in their houses could encounter expensive problems in the future as the frames and trusses distort under pressure.
Edwards said Placemakers was still identifying the "potential structural consequence of inappropriately using re-graded timber in frames and trusses" and what, if anything, needed to be done in terms of remediation.
"Once we know this we will work to ensure that none of our customers are disadvantaged as a result of the two subcontractors' non-compliant actions. Placemakers is working with engineering experts to develop a process to assess frames and trusses in houses that have been built using regraded non-load bearing timber. Once this is done, the solution will be submitted to local councils for approval," said Edwards.
Bunnings said it was working closely with the supplier, local councils and affected customers to resolve any concerns. It had identified and contacted eight of its customers who were affected, and engineering certificates had been granted to all eight.
The owner of one of the firms denied yesterday his company was being investigated. He said he was confident his products met standards. Asked why he thought his company had been cited by Placemakers, he said, "We have done some remedial work to work, probably."
He would not say anything further without consulting his lawyer.
