Businessman tied to ACC bribery in 'dire financial position'
Last updated 13:09, January 16 2017
MAARTEN HOLL/FAIRFAX NZ
Gregory Hutt, pictured, appeared for sentencing in the High Court in Wellington in 2012, after earlier pleading guilty to agreeing bribing to former ACC property manager Malcolm Mason.
A second company part-owned by a businessman who previously bribed an ACC boss has run into financial issues.
Gregory Alexander Hutt's Wellington business Concept Management - formerly known as Hi-Tech Commercial Interiors - was put into liquidation in December, as its debts topped $2.7 million.
Earlier last year, Hutt's business High Street Management was also put into liquidation, owing almost $7m. Four months later, the debt was reduced to between $4.3m and $4.7m.
The liquidation of Concept Management followed uncertainty over the recovery of debts, losses from legal claims, lack of working capital, and a decline in work volumes, the first liquidator's report states.
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Liquidator Pritesh Patel, of Patel & Co, said the company was put into liquidation because it failed to pay its subcontractors, who, in turn, "picked up their tools and walked away".
The company also suffered cash flow issues due to increased competition and general downturn in the industry, he said.
It tried to trade its way out of difficult periods, but was unsuccessful, Patel said.
"For this reason, it was prudent to appoint a liquidation to prevent any further compounding of debts aggravating the company's already dire financial position."
Concept Management owes more than $2.7m, including $498,000 to the Inland Revenue Department.
Questions put to Hutt and company director Martin Price about the company's failings were passed on to Patel.
Concept Management was founded in 1987 under the name Hi-Tech Commercial Interiors, and was based in Wellington. It traded as a commercial fit-out and refurbishment business.
One day before the company was put into liquidation, its name was changed to Concept Management.
In 2011, Hutt was tied up in an ACC scandal involving former ACC manager Malcolm Mason.
Mason was sentenced to 11 months' home detention in March 2011 after pleading guilty to three charges of corruption and bribery.
He admitted corruptly receiving $160,000 from Hutt who built and then leased a building to ACC.
Hutt was charged with corruptly giving Mason a gift and bribing him with intent to influence him. He was sentenced to home detention.
Previously, Hutt lived in the Wellington suburb of Roseneath, but Companies Office records show he now resides in Auckland.