The company had three shareholders at the time of liquidation, including Kirby with 70%, and two other corporate entities with 15% each.
Darling on Drake’s doors were closed when the Herald went to visit, with a notice of liquidation on the front door. Photo / Emma Tavai
According to the Official Assignee’s first liquidator’s report, the business was still trading when it was placed into liquidation.
The liquidator made contact with Kirby, the company’s sole director, by phone and informed him of the company’s liquidation.
Kirby then made an offer to purchase the business under a newly incorporated company, but after a review by the liquidator, the offer was declined.
The liquidator has been approached for more detail.
Eight States has 18 listed secured creditors with registered interests against the company, although six have released their security interests.
Secured items owned by the business included artworks, alcoholic beverages, gas bottles and kitchen equipment.
The artworks were uplifted by the secured creditor and its financing statement was discharged, while the secured creditor who held security over kitchen equipment abandoned the equipment as the items could not be removed from the premises.
Most secured creditors confirmed that there is no money owed and that they will discharge the financing statements.
As for other assets owned by the company, the liquidator collected $241.60 in cash from the business premises, which has been banked into its trust account.
A further $4424.21 held in the company’s BNZ bank account has also been recovered and the liquidator is reviewing the bank statements for potential transactions of interest.
The company owned a large quantity of alcohol, furniture, fittings and equipment held at the business premises.
The liquidator has engaged an agent to review and value the assets, with saleable assets listed for sale via an online auction.
The total value of assets owned by the business will need to be confirmed following completion of the auction.
As for preferential liabilities, a preliminary total of $9030.07 is owed in employee claims, with $329,727.54 owed to Inland Revenue.
Unsecured creditors are owed $175,725.84, but according to the liquidator, these creditors are expected to receive zero cents in the dollar on their claims.
Listed unsecured creditors include Inland Revenue, Auckland Council and Lionco.
The liquidator expects the liquidation to be completed by March 4, 2027.
According to the Centrix September Credit Indicator report, company liquidations remain 14% higher than a year ago on a rolling 12-month basis, with 3105 liquidations recorded during the past 12 months.
Hospitality businesses accounted for 15% of company insolvencies during August, with 432 businesses going under over the August year.
Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.
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