Defence, road and other state government infrastructure projects are now in limbo after a Queensland-based construction company was ordered into liquidation.
Jon and Dan Fulton, who founded AllRoads in 2009, have had their company ordered into liquidation by the Queensland Supreme Court.
The company went into administration as pipe supplier Enviropipes submitted a winding up application over unpaid debts on March 4, 2024.
AllRoads appointed Cor Cordis’ Darryl Kirk and Stephen Earel as administrators, who reportedly offered a deed of company arrangement to pay back part of the debt to the creditors. It was rejected.
The Queensland Supreme Court then appointed insolvency firm SV Partners’ David Stimpson as liquidator.
Stimpson’s investigations found that 721 creditors were owed $24.5 million with about $3.9 million of that owed in super, wages and other entitlements to 145 staff.
The company is believed to have had more than $200 million in major road and defence projects under way in Brisbane, Townsville and the Gold Coast.
Projects include a $50-million Australian Defence Force base in Central Queensland, a $35-million RAAF barracks project at Townsville and a $92-million metro depot contract in Brisbane.
Laing O’Rourke was the contractor for the Australian Defence Force base project, which involved upgrading roads and drainage.
Ipswich City Council has now taken over the widening of Redbank Plains Road from AllRoads, which cost $11.7 million, and aim to complete it by the end of year.
Another AllRoads project was the New England Highway safety upgrade project near Toowoomba, which was due to be completed this month at a cost of $13.2 million.
Two other road and drainage projects, in Logan and Narangba, were also part of the failed company’s pipeline.
Reports indicate AllRoads claimed to have $28 million in assets at the end of 2022 but had $19.5 million in total liabilities. In 2020, it reportedly made a $413,000 profit.
The Urban Developer attempted to contact Jon Fulton for comment.
Construction companies have been struggling to stay afloat due to increased labour and material costs, fixed-price contracts prior to the pandemic being no longer feasible and time delays caused by supply chain issues and wet weather.
This week properties held by collapsed developer and builder The Residence Company were put to the market.
