One of Australia’s most dramatic technology sector collapses has left some of the nation’s largest IT distributors facing losses exceeding $14 million, raising serious questions about credit controls, supplier exposure, and how a relatively small Victorian retailer was able to accumulate such substantial debts in just a few years.
Metrocom AU Pty Ltd, the owner of melbourne-based gaming PC retailer GalaPower, has entered liquidation with total liabilities believed to be approaching $40 million.
Among the hardest hit are some of Australia’s biggest technology distributors. Documents obtained by ChannelNews reveal that Tech Data ANZ is owed $4.1 million, Leader Computers $7.4 million, Dicker Data $1.86 million, Multimedia Technology $889,964, and Ingram Micro almost $500,000.
The scale of the losses has stunned industry observers, with many now questioning how a business operating primarily from a single retail location in Clayton, Victoria, was able to secure such significant levels of credit from major suppliers and distributors.
Trade credit insurers are also expected to face substantial claims arising from the collapse.
According to records lodged with the Australian Securities and Investments…