A building company has collapsed as liquidators investigate the transferral of hundreds of thousands of dollars of company funds to two employees.

Last week, Alurt Construction Services, based on the NSW mid-north coast near Coffs Harbour, plunged into liquidation.

The company’s initial estimated debt of around $100,000 has exploded to more than $2 million, although some amounts are disputed, according to the appointed liquidator, Scott Newton of insolvency firm Shaw Gidley.

He said that Alurt had failed because the relationship between its director and senior management had “fallen apart” and led to a “complete breakdown” in recent months.

Indeed, the working relationship between Alurt’s sole director, Jacob Robin, and its construction manager Toby McCosker, and project manager Mike Arnold, had soured drastically, with all the men claiming they were owed money.

The liquidator, Mr Newton, lodged a report to the corporate regulator about Alurt’s financial affairs which has been obtained by news.com.au.

That report claims that a senior employee, Toby McCosker, withdrew $224,500 from company funds in January this year.

This money was transferred without the consent of Alurt’s director Jacob Robin, the report stated….