A Christchurch-based painting and maintenance company has gone into liquidation, with debts totalling more than $2.6 million.
Phil Clarke & Son Limited was placed into liquidation on 8 July 2025 following a special resolution by the company’s shareholder and director Daniel Clarke.
The appointed liquidator is Brenton Hunt of Insolvency Matters Limited.
According to the liquidator’s initial report, the company had been trading under financial strain after a major customer significantly reduced spending, which the director said left the business unsustainable.
Inland Revenue debt, including unpaid GST and PAYE, was also a contributing factor.
The business, formerly known as Phil Clarke Decorating Contractors, was incorporated in December 2013 and operated from Halswell Junction Road in Islington.
The report confirms the company is insolvent. At the time of liquidation, staff were terminated and all operations ceased.
Assets available to creditors include accounts receivable, limited inventory, plant and equipment, and motor vehicles. However, the report estimates that after secured and preferential creditors are paid, there will be no remaining funds available for unsecured creditors.
Secured creditors include Fletcher Distribution Limited, Ardex New Zealand, Finance Now Limited, Fleet Partners, Raylight Aluminium Limited, Roberts Heritage Limited, and Bizcap NZ Limited.
Preferential creditors include staff, with unpaid wages and holiday pay estimated at $100,000, and Inland Revenue with a combined GST and PAYE debt of around $1.8 million. Unsecured creditors are owed approximately $800,000.
The liquidator has begun the process of contacting creditors, investigating the company’s financial history, and identifying any transactions that may be recoverable. If breaches of the Companies Act 1993 are discovered, the liquidator has the authority to pursue legal action, including making directors personally liable.
The liquidator does not intend to hold a meeting of creditors due to the lack of funds, but creditors may request one in writing within 10 working days.
The liquidation process is expected to take up to 12 months, depending on the outcome of ongoing investigations and asset recovery efforts.
