Kiwi Crunch Empire Collapses, Leaving Over $53 Million in Debt
Several companies within the Kiwi Crunch apple-growing empire, owned by Wade Glass, have been placed into liquidation and receivership. The collapse has left creditors owed more than $53 million, with the IRD alone accounting for over $19 million in debt.
Key takeaways
- The Kiwi Crunch apple-growing empire, including its subsidiary Crasborn Fresh Harvest, has been placed into liquidation and receivership.
- Creditors are collectively owed more than $53 million, with the IRD accounting for over $19 million of this debt.
- The collapse has left a $15 million shortfall between the company's assets and its liabilities.
- Owner Wade Glass is continuing to pursue overseas business interests despite the financial distress of his New Zealand operations.
What Happened
The agricultural business Kiwi Crunch, primarily involved in apple growing in Hawke's Bay, and its subsidiary Crasborn Fresh Harvest, have entered liquidation and receivership. This financial collapse has resulted in significant debt, with total liabilities to creditors exceeding $53 million.
Key Facts
- Crasborn Fresh Harvest, a subsidiary of Kiwi Crunch, owes creditors more than $53 million.
- The Inland Revenue Department (IRD) is owed over $19 million.
- Kiwi Crunch was also placed in receivership in July.
- The company's assets are valued at $40 million, creating a $15 million shortfall against its total debt.
- Over 20 secured creditors and more than 30 unsecured creditors are listed, with unsecured businesses located from Auckland to Christchurch.
- One supplier is owed several hundred thousand dollars for services rendered.
- PGG Wrightson recorded a $4.5 million provision for amounts owed by orchard companies, mainly Kiwi Crunch.
- Wade Glass, the owner of Kiwi Crunch, is a former accountant who is a director and/or shareholder in 53 companies.
- Glass's residential home in Glendowie, Auckland, is listed for sale at $5.97 million.
- Despite the New Zealand receivership, Glass has pursued a settlement for a South Australian orchard valued at NZ$11 million, though settlement is overdue.
Background
The liquidation and receivership of these companies reveal a complex network of businesses associated with Wade Glass. Data indicates he has been involved in nearly 100 companies over the years, often as the sole shareholder. His business history includes a directorship with the accounting firm Staples Rodway.
Sources reviewed
Project Chintan independently synthesized and analyzed information cross-checked across the sources listed above.
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