‘Slam’ for shire over $4m fiasco

JOHN VAN KLAVEREN
UNIONS and two sub-contractors owed $62,000 have slammed Golden Plains Shire over the collapse of a $4.2 million building project.
The sub-contractors, Newtown’s Tenon Joinery and Bannockburn’s ADM Engineering, said they were “left in the lurch”.
The companies accused the shire of wasting money on a failed builder despite warnings.
“I’m appalled council let this situation arise when they initially had a monitoring system in place,” said Tenon managing director Peter Hynes.
“Council used a system of statutory declarations to ensure payments were made regularly (but) which seems to have been abandoned.
“We don’t seem to be able to get anything from the principal contractor. The council says they have paid him and he says that they haven’t.
“I’m urging Golden Plains Shire to release any payments they are withholding from the contractor to pay the sub-contractors who are out on a limb for the shire. We put bread on the table for 15 families here at Tenon and it’s a scandal that a great project has tumbled into sludge.”
The $4.2m library, community and cultural hub received $1.3 million in federal and $900,000 in State Government funding.
The facility, which had been due to open in 2012, included a multi-purpose hall, a neighbourhood house, a library, a community learning centre, playgroup facilities and a space for small businesses and youth services.
Construction Forestry Mining and Energy Union organiser Brendan Murphy said he warned Golden Plain Shire that Andeco was a “dodgy builder”.
“I told the shire the company did not have a good track record and had gone broke a couple of times before only to surface again with a new name. But (the shire) ignored me and now we’re stuck in the same situation again.”
Golden Plains chief executive officer Rod Nicholls said coucil had taken “a number of steps” to progress the project.
“While the contract with Andeco remains on foot, Council has taken construction out of Andeco’s hands. “Council is conducting an audit of works, in conjunction with a contractor expression of interest process to expedite matters. The audit and expression of interest process is expected to take five weeks.”
Mr Nicholls said council expected the project to be complete by March.
Andeco principal Frank Nadinic had not returned the Independent’s call before the paper went to press.