Photo: ODT filesThe High Court has ruled collapsed property and construction company Mainzeal traded while insolvent for nine years and has held some of the directors liable for $36 million for letting it happen. Mainzeal was the country's third largest construction company when it collapsed in 2013, owing creditors more than $110 million. In a decision on the case released today, Justice Francis Cooke said Mainzeal's parent company Richina Pacific borrowed money from Mainzeal to buy assets in China. However, each was held liable for up to $6 million jointly with Mr Yan. The court noted that the directors jointly have around $20 million of liability cover, but did not take it into account when assessing their liability.

Source: Otago Daily Times February 25, 2019 23:15 UTC