The New South Wales Government says it had no warning one of the state's largest building companies was about to collapse, despite receiving more than 100 complaints over three years.
Beechwood Homes went into voluntary administration earlier this week and receivers were sent in yesterday afternoon.
It is believed a slowdown in the housing market fuelled by rising interest rates was behind the collapse.
About 300 homeowners in Sydney, the Hunter Valley and the south coast are expected to be affected.
NSW Fair Trading Minister Linda Burney said yesterday she had not received any complaints about the company.
But today the Minister confirmed she told Parliament about the complaints on April 1.
"I was advised on Monday evening that the collapse had taken place," she said.
"Prior to that, there was no warning that there was a major problem. The complaints that we've received over three years were minor in nature and all of them were mediated."
Ms Burney says the complaints were mostly resolved by the Consumer, Trade and Tenant Tribunal (CTTT).
"The number of complaints over the last three years for the biggest home building company in New South Wales was 119," she said.
"Most of the complaints were minor and they were mediated through the CTTT."
The Government says anyone who had their home built by Beechwood will be covered by the Home Warranty Insurance Certificate.
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