A mid-sized Bermudian construction company has closed down.
Gulf Stream Construction Ltd, founded by Marcelino Ferreira in 2003, has been wound up.
Mr Ferreira, identified on the GSCL website as the company’s owner and technical director, advised the company’s clients on April 26 that the company was planning to cease operations.
“It is with great regret that I write to inform that due a few under performing and slow paying projects with the continued increasing costs of operating in today’s local construction industry, GSC finds itself in an ever-increasing tough position to continue operating,” he wrote.
“GSC have been advised by its lawyers to strongly consider winding down its operation. As a result of this advice and having reviewed our options. The directors and shareholders under the legal advice are starting the process of closing its operation and winding down Gulf Stream Construction Ltd according to the local business laws afforded.
“This process will take place with effect from April 30, 2019 being the final day of operation. GSC request that we have access to your project to collect all tools and equipment. We have been informed that a liquidator will be assigned and should be in contact with further news and directions.”
A winding-up order was subsequently granted in the Commercial Division of the Supreme Court in respect of GSCL on the basis that the company acknowledged its insolvency. Paul Harshaw of Canterbury Law Ltd, representing GSCL, presented the petition to the Court, which was unopposed.
The Court appointed the Official Receiver as the provisional liquidator of GSCL. It is expected that the Official Receiver will advertise a meeting of individuals or companies claiming to be creditors of GSCL.
Some of them were in court on the day of the winding-up hearing, or had representatives in attendance.
Alex Potts QC of law firm Kennedys appeared on behalf of supportive creditor Rodney Burrill, who had given the required notice to appear at the matter but did not oppose the winding-up.
Lawyers Richard Horseman of Wakefield Quin, Jordan Knight of Appleby and Jennifer Haworth of MJM attended the winding-up hearing on “watching briefs”. All said they represented creditors of GSCL.
Anthony Madeiros of BS & R Group, which has filed two actions in the Supreme Court against GSCL, was also present.
H & H Plumbing and Mechanical Ltd has also filed an action against GSCL.
GSCL is described on the company’s website as a mid-sized general contracting and construction management company with a target market of mid-to-high-end residential construction and low-to-mid-size commercial projects.
Mr Ferreira operated the company with the assistance of the outfit’s general manager, Jonathan Carter.