HOC failure cost subcontractors £14m

Grant Prior 8 years ago
Share

Failed contractor HOC (UK) Ltd went down owing more than £14m to subcontractors and suppliers.

Documents seen by the Enquirer reveal the scale of the companies debts with 469 unsecured creditors chasing cash.

But some creditors fear the final bill will be even higher.

One said: “The administrators only had us listed for half what we are owed and didn’t know about later applications for payment we issued and had certified.”

The documents also reveal the turmoil at the company in the run-up to its demise as previous management were blamed for burdening the company with “excessive overheads and fees” and taking on loss making contracts to obtain “high turnover levels and cash flow”.

HOC grew rapidly from a £4m business in 2010 to £76m in 2015.

Latest accounts for the year to March 31 2016 show a turnover of £86.6m but the company made a pre-tax loss of £11.16m.

A creditors meeting will be held next week.

One firm owed money said: “The whole thing has been a total shambles for a while now.

“I just feel sorry for everyone owed money by this lot.”

The assets of HOC were sold in a pre-pack deal to a company called Coppercast Group Ltd for £50,000.

Latest news

Geoffrey Osborne supply chain hit for £26m

More than 500 suppliers and subcontractors left holding unpaid bills
2 days ago

SME contractors agree 4% pay rise for site workers

Workers will also get an extra day of holiday
2 days ago

Taylor Wimpey chief honoured with CBE

Jennie Daly recognised in King's Birthday honours
1 day ago

Labour to mothball £320m A27 job to fix potholes

Manifesto confirms Arundel Bypass canned as "poor value for money"
2 days ago

Lendlease’s £1.9bn Smithfield Birmingham scheme approved

Initial work to start later this year despite questions over Lendlease's degree of involvement
2 days ago

Crest Nicholson rejects £650m Bellway bid

Second Bellway approach rebuffed
3 days ago

Hill submits £800m East London estate rebuild plan

Over 1,900 homes to be built in five phase at Teviot Estate in Poplar
3 days ago

Plan approved for 8,500-seat Edinburgh indoor arena

Construction expected to start next year once a contractor is appointed
2 days ago

Statom starts on £25m Bristol Airport precast car park

Major work package on transport upgrade being overseen by Griffiths Farrans JV
3 days ago

Build problems plunge Crest Nicholson to a £31m loss

House builder unearths more defects on completed sites
3 days ago

Rebooted Amey lifts contract win rate to 1 in 3 bids

Amey chief says firm exceeded expectations in first year under new owners
3 days ago

BAM Nuttall fined £2.3m after worker drowned

Court hears how series of safety failures led to tragedy
4 days ago

OCU buys Scottish civils contractor RJ McLeod

Deal takes multi-utility infrastructure specialist revenue to over £800m
4 days ago

£220m plan to restore secret wartime tunnels approved

Tunnels under High Holborn to become cultural exhibition space
4 days ago

Galliford Try wins £69m Scottish school job

Deal sealed on Paisley Grammar School project in Renfrewshire
3 days ago

Balfour wins design for £690m Skye transmission job

Main work contract for 137km power line to be awarded later this year
4 days ago

Student and resi developer Fortis goes under

Cheshire based developer follows construction arm into liquidation
4 days ago

Construction output falls for third month running

Heavy rain and strong winds blamed for sharp fall in activity in April
4 days ago

Plan in for Leeds 27-storey block of flats

390 flats planned at former Morgan Sindall office site
4 days ago

Firms readied for £1.5bn Parliament estate upkeep deal

Invitation to tender due to go out next month
5 days ago

Amey switches kit supplier

Deal with HSS was worth £24.5m a year to rental specialist
4 days ago

Track workers scatter to avoid runaway rail trolley

Track trolley careers 1km towards work site
4 days ago

Direct delivery model pays off as Murphy profit soars to £67m

Group operating margin jumps from 3% to 5% in record year
5 days ago

Ex-Galliard boss to lead Battersea next building phase

Don O’Sullivan joins as plans advance to start phase 3C of power station redevelopment
5 days ago

£100m Digbeth 33-storey flats job out to bid

483 flats will be delivered for Clarion housing association
5 days ago

Van Elle fined £233,000 after piling rig kills driver

Court hears how tragedy was caused by poorly maintained plant
5 days ago

Renew buys utilities contractor Excalon

Infrastructure giant expand into electricity transmission market with £26m deal
5 days ago

Planning for new homes plunges to record low

Home builders call for urgent action from incoming government
5 days ago

JTRE starts £400m 21-floor London tower scheme

Office block and 64 affordable homes to be built at 220 Blackfriars Road site
6 days ago

R G Carter construction profits up despite 24% revenue fall

Selective client choice help profit jump to £6m from £1m previously
6 days ago

Contractor services