Rainbow Dunedin Ltd Liquidation Process Continues Amid Court Hearing

The liquidation process for Rainbow Dunedin Ltd, which operates the Regal Court Motel in Dunedin, is ongoing as liquidators assess the situation ahead of an upcoming court hearing. Appointed by the High Court in Dunedin in November 2023, liquidators Trevor and Emma Laing of Laing Insolvency Specialists are managing the company’s affairs following an application from Bertfour Ltd.

Rainbow Dunedin Ltd was incorporated in 2021 and holds a lease for the motel located on George Street. Its shareholders include NZ (BOP) Investment and Development Ltd and Jiafeng Liu, who serves as the sole director and resides in Bluff. Upon their appointment, the liquidators received notice from Mr. Liu’s solicitor regarding plans to apply for a termination of the liquidation process. This application was officially filed on December 13, 2023, with a hearing scheduled for February 12, 2024.

In the interim, the liquidators have continued to operate the motel business to allow time for the court application. Should the application not succeed, they will need to explore sale options for the business. According to the liquidators’ reports, the motel remains operational, and payments to suppliers, trade creditors, and employees are current, funded through trading revenues.

Current identified creditors include the Inland Revenue and the petitioning creditor, with outstanding debts amounting to nearly $227,000. The director has indicated that some debts are disputed, which will be addressed as part of the court application seeking to terminate the liquidation.

As the court date approaches, stakeholders will be closely monitoring the situation to determine the future of the Regal Court Motel and the outcomes of the ongoing liquidation process.