22 July 2019

Environment: re Paddy Hannan Contracting Ltd

Companies controlled by contractor Paddy Hannan are in liquidation with liquidators looking to recover from Mr Hannan personally costs of decontaminating Wellington land fill.
Hannan’s companies had resource consent to dump clean landfill on sites in Waiu Street, Wainuiomata. Complaints about site operations and the fill used led to Resource Management Act prosecutions against both Mr Hannan personally and his company.  Hutt City Council declared the sites contaminated.  Hannan’s companies were put into receivership in 2014 after FM Custodians Ltd called up a loan.  Receiver Kevin Whitely told the High Court there is a shortfall owed creditors of $1.9 million. Substantial costs were incurred remediating Waiu Street before the land could be sold.
The High Court put Mr Hannan’s companies into liquidation, with Auckland insolvency specialists KhovJones appointed liquidator. Legal action against Mr Hannan is likely.  Breaching regulatory requirements for a clean-fill operation raised questions about Mr Hannan’s conduct as a director, Associate judge Andrew said.
Re Paddy Hannan Contracting Ltd – High Court (22.07.19)
15.134