Perle collapse now cuts deep

COFFS Harbour hair salon owner John Senes, of Jade Hair Designs, has seen first hand the impact failed building projects have had on the wider business community.

Following the non-payment of sub-contractors over the stalled Simcorp Beaches high rise at Park Beach, he’s again noticed the impact Perle’s collapse has had on Coffs Harbour as a whole.

In both instances out-of-town developers have failed to complete construction projects, going into liquidation and leaving million-dollar debts in the local building industry.

“I’ve had several clients call in and cancel their hair appointments this week, they simply couldn’t afford to get their hair done because their family businesses have been involved in the Perle collapse,” Mr Senes said. “This $1.6- million owed to those poor local subbies is money that would have been spent in Coffs Harbour.

“Unlike Bovis Lend Lease, the profits from these government ‘stimulus package’ contracts wouldn’t have been channelled offshore, they would have stayed and been spent in Coffs Harbour.

“One of our clients has been getting her hair done with us for years. It’s heartbreaking the position she and her husband now find themselves in, the Keneally Gov- ernment owes a lot of answers to the Coffs Harbour community.

“This isn’t about the money this woman couldn’t afford to spend on her hair, it’s far bigger than that, every business in Coffs Harbour will suffer the impact.”

Member for Coffs Harbour Andrew Fraser says without question the debts owed to local subbies would have an impact on the local economy.

“This $1.6 million owed to local sub-contractors could easily turn into a $5 million loss to the local economy,” he said.



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