DKW Personnel (Dunedin) Ltd ceased trading and was placed into liquidation in May.
The liquidator’s six-monthly report, made public last week, estimated the total shortfall to creditors at $540,942.
A preferential claim was received from the Inland Revenue Department for $340,658.
“It [is] unlikely that there will be sufficient funds available in the liquidation from which a dividend to unsecured creditors can be paid. However, investigations are still ongoing,” liquidator Robin Crimp, of RAC Insolvency Ltd, said.
The company’s sole director, listed as Rani Rangimoekau, did not respond to a request for comment.
However, the liquidator’s first report, released in May, stated she advised “the current recession was the cause of the company’s insolvency”.
A Dunedin recruiter, whom the ODT has agreed not to name, said they were not shocked by the liquidation.
Recruitment was not for everybody and could be “pretty brutal”.
Dunedin was also not a big city and had a very high percentage of elderly people living here.
“The available temps, or available people to work, as a percentage is very low.”
They estimated at one point there were close to 30 temping agencies working in Dunedin, and “a lot have gone”.
“What happened with DKW, that’s not the first and it won’t be the last.
“They’re not the only ones that have left town, or closed their doors.”
DKW Personnel (Dunedin) Ltd was incorporated in April 2006 and operated the Dunedin branch of the wider DKW Recruitment Group.
The liquidation does not affect any of the other branches.
DKW Recruitment Group describes itself on its website as a specialist company with more than 50 years of collective expertise in recruitment selection and human resource management.
Established in 2001 with its head office based in Christchurch, it lists branches in Dunedin, Queenstown, Wellington and two in Auckland, along with at least nine other placement locations across the country.
DKW Personnel (Wellington) Ltd was placed into liquidation in October last year.
The Dunedin branch was located in Level 2 of ASB House, in Cumberland St.
