The construction giant made the announcement this morning, with workers telling 9News they received either a brief text message or phone call to drop their tools and leave their work sites.
Robson Cotter Insolvency Group, which will handle the liquidation, issued a statement saying its estimated 300 homeowners will be impacted.
“We understand that total creditor claims may be in the vicinity of $14 million,” the statement said.
“Projects range from not yet commenced, through to nearing completion.
“The company’s staff have been terminated effective from the date of the liquidators appointment.”
Some workers have told 9News they are owed thousands of dollars from the now-defunct company.
Oracle Homes came under fire earlier this year after several unhappy customers claimed their building projects were heavily delayed.
Customers also claimed the company had asked for hundreds of thousands of dollars more than initially quoted to complete their projects.
It’s also claimed the company had failed to pay several subcontractors.
Transport minister Mark Bailey said the state government may be able to assist Oracle Homes customers and contractors left out of pocket by the collapse.
“There are measures to protect people in cases of companies collapsing, those measures will be in place of Oracle Homes,” he said.
The Robson Cotter Insolvency Group spokesperson said customers with outstanding projects would be contacted.
They added Oracle Homes director Tom Odel was cooperating with the liquidation process.
It’s understood creditors have been monitoring the company in recent months over unpaid debts, with one creditor taking a caveat over Orel’s $5 million Gold Coast mansion.
“Mr Orel has highlighted the well-known difficult circumstances prevailing in the construction industry, including the recent and rapid rise in costs of construction materials eroding the company’s margins, and substantial delays experienced in securing supply of materials and labour, as all contributing to the company’s position,” the Robson Cotter Insolvency Group spokesperson said.
“These factors resulted in cost overruns and delays in project completions, which severely impacted the company’s cash flows and its capacity to continue to operate, despite the owners and staff of the company’s best endeavours.”
Orel has not responded to 9News’ request for comment.