Christchurch Company CProPainterPlaster Faces Liquidation Over $1M Tax Debt

A Christchurch-based company, CProPainterPlaster, has entered liquidation, incurring over $1 million in unpaid taxes owed to the Inland Revenue (IRD). The company, which operated within the house construction industry, was placed into liquidation following an application filed by the IRD at the Christchurch High Court on July 10. The New Zealand Insolvency and Trustee Service has since been appointed as the liquidator.

The primary issue leading to the company’s downfall appears to be a failure to properly account for taxation obligations. The first report from the liquidator, released on August 15, highlighted the financial challenges faced by CProPainterPlaster and indicated that they had only about $2,000 in available funds.

Efforts are underway to communicate with the sole director and shareholder, Christopher Pabaira, to gather the necessary financial statements and assess the overall financial position of the company. The liquidator has already received claims from creditors totaling just over $57,000, which includes submissions from UDC Finance, Oxford Finance, and Bizcap NZ.

The IRD is the largest creditor, claiming approximately $1.048 million of the total estimated claims, which pushes the overall liabilities to just over $1.1 million.

In light of these developments, the New Zealand Insolvency and Trustee Service is actively investigating various databases and services to identify any potential assets that could be available to creditors. As the liquidation process proceeds, the focus will remain on assessing the company’s financial history and determining the viability of recovering funds for those owed money.

The situation highlights the critical importance of financial management and compliance with tax obligations for businesses, particularly in the competitive construction sector.