Trevor and Emma Laing, of Laing Insolvency Specialists, were appointed liquidators of KV Ltd in late May.
Shares were held by CJS Nominees (owned by Mr Swann) and Mr Swann, who is the former chairman of Waitaki District Health Services and cancer diagnostics company Pacific Edge.
Mr Swann was also the owner of First Design and Build, a Canterbury house building firm, which failed in 2021 after accruing losses of just over $1.2m.
In their first report, the liquidators said KV Ltd — which was incorporated in March, 2019 — operated as a property development company.
Two separate developments were undertaken in St Albans, Christchurch, and four townhouse units were developed on each site. All eight units were sold, the last sale in July 2024 and the company ceased trading in May this year.
Mr Swann told the liquidators Covid-19 and the lockdown in 2020 impacted the project.
Funding was affected, product cost increased, there was difficulty getting sub-contractors on site and construction delays extended the build time and increased costs.
A loan from Harbour Holdings Ltd — the petitioning creditor in the liquidation order — went into default. Harbour Holdings served statutory demands on the company for the loan principle and loan interest on monies advanced.
The liquidators only recently received the completed directors questionnaire about the company affairs along with supporting documentation.
A request for further company records had been made.
They had been advised the company had Inland Revenue Department liabilities, the exact amount of preferential debt was being confirmed.
At this stage, the liquidators were aware of three unsecured creditors.
It was too early to estimate if there would be a dividend available to creditors.
