A major Queensland construction company has reportedly collapsed after it asked some clients to pay thousands of extra dollars to complete their projects.
Oracle Building Corp’s collapse will leave hundreds of customers with unfinished homes and suppliers out of pocket, Courier Mail reports.
Oracle blames rising construction costs for its problems.
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The construction industry is grappling with supply problems that are driving rapidly rising material costs and eating away at contractors’ profit margins, particularly on projects bid on before the supply crisis.
A number of Oracle customers have claimed that the company has asked them to pay more than the fixed construction contract price of their projects.
dream to nightmare
“Anyone can sell a dream, but making it happen — these guys aren’t really good at it,” Logan-based client Scott Wilson told 7NEWS in April.
Another customer, Dale Liston, said Oracle asked him to top up his original offer by an additional $40,000.
He said an Oracle employee “basically laughed in my face” when he offered to pay $10,000 instead.
7NEWS is trying to reach Oracle for comment, but the company’s website appears to have gone down.
It is not the first company to fall victim to the supply crisis.
Construction giants Condev and Probuild collapsed earlier this year, while Metricon, one of Australia’s largest construction companies, denied rumors it was on the verge of collapse.
https://7news.com.au/business/finance/oracle-homes-major-queensland-building-company-reportedly-collapses-c-7986817 Oracle Homes, a major Queensland home builder, is reportedly collapsing