Caravan company’s collapse into liquidation leaves customers in the dark: ‘I was angry’
By
Seia Ibanez
- Replies 18
The dream of hitting the open road in a custom-built caravan has turned into a nightmare for dozens of Australians as Tango Caravans Pty Ltd, a Victorian-based manufacturer, has unexpectedly collapsed into liquidation.
This sudden turn of events has left customers, including those who had invested their life savings, in a state of shock and financial uncertainty.
Days after sending out an email citing a 'temporary closure' due to 'unforeseen circumstances' including understaffing, Tango Caravans has ceased operations, leaving many customers out of pocket and at least one person without a home.
The closure has raised serious questions about the security of deposits in the caravan industry and the risks associated with pre-ordering custom-built models.
![tangocaravan.jpg tangocaravan.jpg](https://seniorsdiscountclub.com.au/data/attachments/56/56353-9ae1af4eaddb3d2b53cceaa7d54a7748.jpg)
Tyler Edmunds, a father-of-two from Albury, is one of the many affected customers. He had been promised his caravan by February but was left in limbo with no sign of the finished product.
After multiple visits to the company's head office in Melbourne and a full payment of $73,000, Edmunds now faces the grim possibility of losing his entire investment.
The distressing situation is not isolated to Edmunds. A social media poll suggested that at least 30 customers are in the same boat, with one woman having paid a staggering $100,000 and planning to make the caravan her home as she travelled the country.
Andrew Yeo of Pitcher Partners, the appointed liquidator, has begun investigating the company's affairs.
However, he has delivered a crushing blow to customers by stating that he is not in a position to offer refunds.
Compounding the issue, Yeo revealed that Tango Caravans did not have any stock on its property, nor did it control any caravans that could be sold to recoup losses.
‘It may be possible that some caravans are presently being manufactured by external suppliers, and a partial resolution may be achievable,’ he said.
The liquidator noted 'significant debts’, primarily from customer deposits and other creditors, including the Australian Taxation Office.
This situation underscores the precarious nature of the caravan manufacturing industry, which has seen another Melbourne-based company, Highline Caravans Pty Ltd, collapse earlier this year with debts of over a million dollars.
For customers like Edmunds, who had planned to lodge a complaint with Consumer Affairs Victoria, the collapse came too soon.
The Edmunds family had signed a contract and paid a $13,000 deposit just before Christmas last year, with the full caravan expected in February 2024.
Despite being shown a photo of a nearly completed caravan matching his specifications, Edmunds' hopes were dashed when he discovered that Tango Caravans had not paid the manufacturer.
‘That was when my heart sunk,’ Edmunds said. ‘I was angry. I knew it (the money) was gone.’
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This sudden turn of events has left customers, including those who had invested their life savings, in a state of shock and financial uncertainty.
Days after sending out an email citing a 'temporary closure' due to 'unforeseen circumstances' including understaffing, Tango Caravans has ceased operations, leaving many customers out of pocket and at least one person without a home.
The closure has raised serious questions about the security of deposits in the caravan industry and the risks associated with pre-ordering custom-built models.
![tangocaravan.jpg tangocaravan.jpg](https://seniorsdiscountclub.com.au/data/attachments/56/56353-9ae1af4eaddb3d2b53cceaa7d54a7748.jpg)
Tango Caravans has suddenly collapsed into liquidation, leaving dozens of customers enraged. Credit: Tango Caravans
Tyler Edmunds, a father-of-two from Albury, is one of the many affected customers. He had been promised his caravan by February but was left in limbo with no sign of the finished product.
After multiple visits to the company's head office in Melbourne and a full payment of $73,000, Edmunds now faces the grim possibility of losing his entire investment.
The distressing situation is not isolated to Edmunds. A social media poll suggested that at least 30 customers are in the same boat, with one woman having paid a staggering $100,000 and planning to make the caravan her home as she travelled the country.
Andrew Yeo of Pitcher Partners, the appointed liquidator, has begun investigating the company's affairs.
However, he has delivered a crushing blow to customers by stating that he is not in a position to offer refunds.
Compounding the issue, Yeo revealed that Tango Caravans did not have any stock on its property, nor did it control any caravans that could be sold to recoup losses.
‘It may be possible that some caravans are presently being manufactured by external suppliers, and a partial resolution may be achievable,’ he said.
The liquidator noted 'significant debts’, primarily from customer deposits and other creditors, including the Australian Taxation Office.
This situation underscores the precarious nature of the caravan manufacturing industry, which has seen another Melbourne-based company, Highline Caravans Pty Ltd, collapse earlier this year with debts of over a million dollars.
For customers like Edmunds, who had planned to lodge a complaint with Consumer Affairs Victoria, the collapse came too soon.
The Edmunds family had signed a contract and paid a $13,000 deposit just before Christmas last year, with the full caravan expected in February 2024.
Despite being shown a photo of a nearly completed caravan matching his specifications, Edmunds' hopes were dashed when he discovered that Tango Caravans had not paid the manufacturer.
‘That was when my heart sunk,’ Edmunds said. ‘I was angry. I knew it (the money) was gone.’
Key Takeaways
- Tango Caravans Pty Ltd, a Victorian-based caravan manufacturer, has unexpectedly entered liquidation, leaving dozens of customers facing financial losses.
- Customers who paid deposits and full payments, including one who is now without a home, are affected, with no clear way to recover their funds.
- Liquidator Andrew Yeo stated the company ceased trading upon his appointment, and he is not in a position to refund customers, while Tango doesn't have any stock or control over any caravans.
- This collapse is the second such incident in Melbourne this year, with Highline Caravans Pty Ltd having gone into liquidation earlier, indicating a troubling trend in the caravan manufacturing industry.