Receivers search for missing Westport company plant 18 months after it went bust

Martini Mechanical went into liquidation in October last year at the instigation of the Inland Revenue Department.

The receivers for Westport heavy machinery repair company, Martini Mechanical, are still looking for some of the company's plant 18 months after it went bust.

Martini Mechanical, owned by Westport couple Gillian and Scott Martini, ceased trading and went into receivership in May last year following the couple's relationship breakdown.

The company went into liquidation five months later at the instigation of the Inland Revenue Department.

The third receiver's report, in June this year, said receivers Rodgers Reidy had been unable to locate a number of items of plant and equipment. They had engaged a private investigator and laid a complaint with police.

The latest report said police had executed a search warrant at a North Canterbury rural property and found company assets valued at about $25,000, which were subsequently sold at public auction.

The report said the receivers were still looking for some items of the company's plant, including a 2008 Toyota Forklift, a 2005 bobcat skid-steer loader and a 50-tonne workshop press. The plant used to be located at the company's Derby Street premises.

A police investigation into the whereabouts of the plant was ongoing. Anyone who had the items, or knew where they were, should contact Geoff Brown (gbrown@rodgersreidy.co.nz).

The report said the receivers had previously located and taken possession of 11 vehicles owned by the company. One vehicle was repossessed. The remaining 10 were sold at public auction or privately.

Martini Mechanical still owes about $360,000, not including interest, to the Bank of New Zealand, the Inland Revenue Department, and unsecured creditors.

Interim distributions of $145,000 had been made to the Bank of New Zealand, which held a general security agreement with Martini Mechanical. The bank was still owed $171,300, plus interest, the report said.

The Inland Revenue Department had claimed $82,830 for GST and PAYE arrears. No payments had been made.

Martini Mechanical has about 80 unsecured creditors, who are owed $105,535 all up. It was likely unsecured creditors would receive nothing, the report said.

Employees had been paid in full for unpaid wages and holiday pay totalling $19,548.

The report said the receivers had realised $402,468. The sale of assets had raised $233,703 so far. The receivers had invoiced customers for work completed by the company before it stopped trading and collected $166,057.

The remainder of the $402,468 comprised GST refunds $1850, interest $620 and sundry income $237.

The receivers had paid out $321,306 so far, leaving a balance of $81,162.

Rodgers Reidy said they were unable to estimate a likely date for completing the receivership, due to the outstanding matters.

Martini Mechanical began operating in April 2010 as a heavy diesel mechanics business. The company specialised in onsite repairs and maintenance of heavy earth moving equipment at Stockton Mine.

- Westport News