An independent inquiry into Canberra's building industry is the only thing that can rid the capital of the "rotten apples" ripping off home owners, suppliers and tradies, the peak builders' body says.
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The Master Builders Association of the ACT says it has lost patience with rogue operators and the regulatory framework that is failing to protect unsuspecting home buyers and law-abiding companies in the industry.
The association's deputy executive director, Jerry Howard, made his call as one failed builder, Sublime Developments, faces court action on Monday aimed at shutting the company that could owe $2.5 million to up to 176 creditors around town.
Administrators say they do not know if Sublime's alleged victims will see any of their money again yet the two men behind the firm, who deny any wrongdoing, are free to continue running other companies in Canberra, perfectly legally.
Another local builder, Andara Homes is accused of leaving a trail of bad debts, unfinished homes and broken dreams among its customers and suppliers in Canberra and across the surrounding region.
The ACT government announced new regulations on Friday that would give home buyers and potential suppliers or subcontractors greater ability to look at the backgrounds of Canberra builders.
Planning Minister Simon Corbell said recent exposure by the media of dodgy Canberra firms had added impetus to the push for the Construction and Energy Efficiency Legislation Amendment Bill, which will allow the public to see if a builder has conditions or suspensions against their licence.
But Mr Howard said an independent review of the industry and legal safeguards against unscrupulous operators was still needed.
Mr Howard said he had formed his views after dealing repeatedly with cases where small firms went bust or came close after they were not paid by rogue builders, or of home buyers left high and dry with unfinished houses after handing over their money to builders.
"We need a serious independent review of the entire building industry," Mr Howard said.
"It just disappoints me to see the industry tarnished by a couple of rotten apples."
He said restrictions on the number of projects a builder could take on, tightening of the criteria, including ethical standards, for a builders' licence and quarterly lodgement of tax returns could all be considered.
The Master Builders and building industry veteran said his organisation had been swamped with calls and complaints about both Sublime and Andara. He said he had been aware of the problems facing Andara clients for more than 12 months, and had spoken with the business owner, Simon Anderson, about the Gungahlin-based company as well as calling on him to stop advertising his services as a member of the association. "I have indeed many times questioned his business ethics and what he's doing," Mr Howard said.
Launching his new regulations on Friday, Mr Corbell noted the damage an unscrupulous builder could cause to their customers if they failed to fulfil their contractual obligations.
"We have recently seen in the media the unfortunate effect on property owners who have had significant issues with their builders and it is timely to introduce measures that will inform consumers when making these choices in the future," the minister said.
