Sydney subcontractor Metsquare 2 has collapsed, leaving behind a $6.7 million tax debt, adding to the $23 million owed by its predecessor, Metsquare.
According to The Australian Financial Review, the Australian Taxation Office (ATO) forced the company into liquidation last week, bringing the total tax liability linked to its operations to nearly $30 million in four years.
Director Kirk Tsihlis blamed “trading losses” and the ATO’s strict enforcement, saying: “We made significant payments and asked for further time and couldn’t make it work.” He also announced he is “exiting completely” from the construction industry.
The collapse has raised questions about NSW government contracts, as Metsquare companies worked on major projects, including hospitals and metro stations.
Tsihlis was also linked to GoZero, which recently secured a $400 million sale after being approved to supply 126 electric buses to the NSW government.
Transport for NSW is now investigating GoZero’s deal, while liquidators are reviewing Metsquare 2’s finances.
Source: The Australian Financial Review
