Customers are being left out of pocket as the home building company of a leading senator teeters on the brink of collapse, media reports suggest.
SBS World News has reported that Family First senator Bob Day’s building company Huxley Homes has been told to vacate its head office at Baulkham Hills by Monday as it has fallen months behind on its rent.
Customers were also being told by Huxley management that construction of their homes cannot be completed and refunds relating to their deposits cannot be guaranteed as funds of the company have dried up.
According to SBS, the implosion has left customers tens of thousands of dollars out of pocket.
Dominic and Elizabeth Scuteri, for example, paid a $26,000 deposit for Huxley to build their dream home for them and their four children on a vacant lot at Harrington Grove in Sydney’s south-west.
In a meeting with company management, the couple were told that Huxley had no money to build their house, pay tradespeople or even pay the company’s own rent, and that there was no guarantee that they were going to get their deposit back.
Another couple reportedly agreed to terminate the contract in return for a token walk-away payment only to be told that there was no money even to pay them this token amount.
In Victoria, meanwhile, work has come to a standstill on the home sites of 61 Huxley customers in that state.
In another development, The Australian has reported that Mr Day is being sued for $2 million in the NSW Supreme Court by former owners of Huxley Homes Graham and Bryan Huxley over allegations that his Home Australia group was slow to pay the $14.7 million for the business and failed to honor payment agreement on office rental deals.
Day – the sole director of Home Australia – has until Friday to seek the renewal of Huxley’s licence to operate in New South Wales.
Day was reportedly unavailable for comment about either the future of Huxley, the impact upon his national business or any impact upon his position in parliament (politicians cannot remain in parliament if they become bankrupt or insolvent).
But he has repeatedly used Twitter to blame his company’s woes on the poor management of others who are involved in the business.