Dragonboat Restaurant has been serving Cantonese cuisine on Auckland's Elliott Street since 1994. Photo: RNZ / Yiting Lin
A prominent Chinese restaurant in Auckland's CBD was placed into liquidation last month after owing at least $1.4 million to creditors.
Opened in 1994, Dragonboat Restaurant on Elliott Street served a wide range of Cantonese dishes, including yum cha and barbecue items.
Reasons behind its insolvency included the Covid-19 pandemic's impact on the hospitality industry and poor economic conditions, business director Guochao Cui said in the liquidators' report.
Higher trading and compliance costs, as well as arrears with the landlord also played a part, Cui said.
The liquidators' report, prepared by Reynolds and Associates Ltd, showed the company owed unsecured non-preferential creditors - including Inland Revenue, the landlord and suppliers - a total worth nearly $1.4 million.
In addition, preferential creditors - including employees - were owed more than $138,000.
Assets available for unsecured preferential creditors, including vehicle, property and equipment, totalled a little more than $41,000 so far, according to the report.
Dragonboat Restaurant has been serving Cantonese cuisine on Auckland's Elliott Street since 1994. Photo: RNZ / Yiting Lin
Earlier this year, Auckland Mayor Wayne Brown used the restaurant for a social media campaign to call for submissions on the city's annual plan.
In the video, Brown encouraged people to hand in their submissions in an exchange for a "succulent Chinese meal".
Cui told RNZ the business could wrap up some time this week.
"It's so bad, [I'm] so disappointed," Cui said, adding that he would miss serving customers.
