Creditors are sweating on the fate of Sydney home development giant Bathla after the firm collapsed into voluntary administration on Tuesday, owing more than $3 billion.
Bathla Group’s managing director Bhart Bhushan said the decision was made as the company faced a “perfect storm” of increased costs and property market pressures.
It has left thousands of homes in limbo and owners who have bought off the plan at various Bathla sites in its $15 billion pipeline holding their breath.
Then there are creditors and tradies who funded and worked on the mammoth development projects waiting to see when or if work will resume.
One lawyer who acts for construction contractors chasing a “six-figure” sum from Bathla said he had been prepared to file District Court proceedings before news of its collapse broke.
Solicitor Tony Taouk told news.com.au he had been in protracted discussions with the firm since January and had drafted a statement of claim to file in court.
“But then the legal landscape changed overnight,” he said.
“One day we had District Court proceedings ready to file. Next, the company was in voluntary administration.”
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Mr Taouk said his…