Road works continue despite OTM liquidation
Subcontractors around the state are still reeling following Clare based construction company OTM going into liquidation last month.
OTM was a Tier two contractor, employed to do the leg work on several projects in the west of the state including the Port Wakefield to Port August works, the Joy Baluch Bridge in Port Augusta and a series over overtaking lanes across the Eyre Peninsula.
OTM went into liquidation on September 21st with over 180 creditors owed a collective total of close to $4 million. Employee entitlements make up around $400,000 of that amount. The company appointed Mark Lieberenz of Heard Phillips Lieberenz (HPL) as the liquidator.
Despite the liquidation, work continues on the projects with Tier one contractors CPB joining with a Departmental Alliance to ensure subcontractors are engaged. Member for Flinders Peter Treloar says he was has been briefed by State Infrastructure Minister Corey Wingard who visited the Eyre Peninsula just over a week ago.
"What it's meant is a good number of our local contractors are left out of pocket," Treloar said.
"We had a creditors meeting in Tumby Bay in which Minister Wingard and other departmental staff attended along with the small business commissioner and the liquidator.
"It wasn't an easy meeting and there wasn't a lot of joy for those who are owed money".
The overtaking lanes on Eyre Peninsula were due to be complete before harvest this year as part of the state governments commitment to improving road conditions across the region once Viterra axed grain movements by rail. Mr Treloar says the government is pulling out all the stops to make sure that commitment is fulfilled.