Watchdog takes action over financial red flags | Queensland Building and Construction Commission

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The state’s building industry watchdog confirmed it has issued show-cause notices to at least 296 licensees under the mandatory financial reporting regime.

The Queensland Building and Construction Commission (QBCC) has given the companies a deadline of Wednesday, 5 October to lodge their reports or face the prospect of licence cancellation.

QBCC Commissioner Anissa Levy says the licensees are in category SC1, with an annual allowable turnover of up to $200,000 and category SC2 (maximum revenue up to $800,000).

“The licensees were followed up several times but failed to submit the required information which was due on 31 March 2022,” Ms Levy says.

“While the majority of these licensees have already submitted their reports, there are more than 200 which have not.

“It’s unclear why these licensees have failed to provide the reports – all they must do is send us a three-page form which captures high level financial information from 30 June 2021.

“During the show-cause period, the companies are given the opportunity to provide reasons why they haven’t provided their financials, as required under Queensland law, and this will be the last chance to lodge the documents.

“We take this action because SC companies can under-report their annual turnover and escape the scrutiny that they warrant in order for us to properly assess their financial viability.

“Licensees who do not submit their reports to the QBCC face potential regulatory action, such as no-new-work conditions, licence suspensions, and licence cancellations.”

Commissioner Levy says this latest action comes just days after the QBCC issued show-cause notices to 71 licensees operating with questionable financial health.

“The minimum financial requirement and mandatory reporting laws enable us to more easily detect when a licensed company might be in trouble financially,” Ms Levy says.

“We’ll do whatever we can to protect the industry from the devastating effects of insolvencies, because those impacts flow right through the building supply chain.”

To submit the reports, visit the QBCC website: www.qbcc.qld.gov.au.


Last reviewed: 14 Sep 2022 Last published: 14 Sep 2022
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