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Home / New Zealand

30 jobs lost as kitchen firm goes into liquidation

NZPA
13 Jan, 2009 07:45 PM2 mins to read

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KEY POINTS:

A fire more than two years ago and the economic downturn are being blamed for Northland's biggest kitchen manufacturer, Pat Gavin (Northland) Ltd, going into liquidation.

Thirty jobs have been lost at the Whangarei-based company, the Northern Advocate reported.

The liquidation was effective from yesterday morning.

The 55-year-old
company produced kitchens for the residential, building and commercial market in Auckland and Northland, with sales outlets in Whangarei, Kerikeri and Milford on Auckland's North Shore.

Majority shareholder Colin Gavin said in a statement that the fire, an alleged arson, had been disastrous for the company.

Apart from the effect on production, Mr Gavin said the substantial amount of insurance claim remaining unpaid had contributed to the company's collapse.

Mr Gavin said before the fire the company had employed more than 50 people and produced up to 30 kitchens a week, and was experiencing unprecedented growth.

The newspaper said a former production manager at the factory, Vincent Leonard of Ruakaka, was charged with arson, burglary and intentional damage after fire gutted the company's office in the Whangarei factory on November 12, 2006.

He stood trial late last year, but the jury failed to agree. The case will be heard again mid-year.

- NZPA

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