SerpApi.Org
- Beechwood Homes collapses into liquidation
- Single mum says she lost $405,000
A single mother was devastated after the collapse of a major Sydney construction company left her and her 11 children without their dream home, and no hope of getting the money back.
Virginia Fletcher paid $405,000 to Beechwood Homes Constructions in January 2025 but construction, which was due to break ground by Christmas, never began.
In May, she discovered the owner, Beechwood Homes Group, had collapsed into liquidation with almost $30million in debt and several unfinished properties, including her planned home.
'I've got nothing to go to. Who will rent to someone with so many kids?' she told the Daily Telegraph on Tuesday.
'I try to put on a brave face for my children, but I am not OK.'
Ms Fletcher said she had to sell her existing home to repay about $143,000 in debt and is worried as she cannot afford to pay the deposit for another property.
She added that six of her 11 children still live in the family home, with the youngest just seven years old.
'I am very stressed. This has impacted my functional capacity,' she wrote in a fundraising campaign to help support her family.
'The financial loss has affected every part of my life and has had a significant impact on my children.
'I struggle to get out of bed on many days, and I often cry myself to sleep.'
Ms Fletcher launched the GoFundMe campaign to help her family and serve as a warning to other Australians.
'I paid Beechwood Homes [Constructions] $405,000 in good faith, believing I was entering into a building contract and that my money would be protected,' she said.
'Following the company's liquidation, I was informed that I was not considered to be in a building contract.
'The liquidator advised there were insufficient assets to repay unsecured creditors and suggested I start a GoFundMe because there was little prospect of recovering my money.'
Ms Fletcher claimed her funds were paid into the company's operating account rather than being held in trust and were spent within 35 days of payment.
'Today, the only item I have to show for the $405,000 I paid is a single tap on my empty block of land,' she said.
'I understand there are numerous affected families, contractors, suppliers and pre-construction customers.'
The Daily Mail Australia has contacted Beechwood Homes and group director Vittorio Cavasinni.
Liquidator Sean Wengel of William Buck told Daily Mail the process to find possible companies to take over Beechwood Homes projects, like Ms Fletcher's, had ended.
'We have now concluded the [expression of interest] campaign and advise that, despite us dealing with a number of interested parties, there were no suitable offers for the purchase of the existing contracts,' he said.
Beechwood Homes (NSW) was placed into a court-ordered liquidation on May 6.
Its six companies were placed into voluntary liquidation in June, including Cavasinni Holdings, Beechwood Homes Australia, Home Completions, Beechwood Homes Constructions, Beechwood Homes Administration and Masonix.
There is no official detail on how much is owed by Beechwood Homes (NSW) but reports lodged with Australian Securities and Investments Commission and seen by the Telegraph suggest the group owed at least $1.4million to unsecured creditors, in addition to $8.5million owed to National Australia Bank (NAB).
The six companies in voluntary administration reportedly owe a total of $20.9million.
It is understood about $19.8million of this combined unsecured debt is connected to intercompany loans and claims from related parties.
NAB has appointed independent controllers to Beechwood Homes, giving the bank control over the company's secured assets.
'We understand this has been an incredibly difficult situation for many people,' a spokesman for NAB told the Daily Mail.
'While the process is being managed independently, we've been working closely with those involved and doing what we can to help people get clear information and understand the options available to them.'
Read more
