NZ$200,000 paid for renovations, then the builder disappeared. How can homeowners protect themselves in a market full of pitfalls?

Nazgul Zamami and her husband Mohammad Humayoon Safi, who live in Hillsborogh, Auckland, wanted to renovate their home. But after they paid the builder NZ$200,000, he left New Zealand and went bankrupt.

 

Years of savings, all lost!

 

The builder from Fiji, Shane Singh, also took NZ$50,000 from another family, yet construction of their new home had not even begun!

 

 Nazgul Zamami

 

Nazgul Zamami and her husband Mohammad Humayoon Safi have lived in their Hillsborough home for 15 years.

 

They handed their years of savings to the builder, only to be left with an unsafe house.

 

Shane Singh, whom they hired, said he had not deceived his clients. He wanted to finish the work but had been deported by Immigration New Zealand for overstaying. He also said his inability to access his funds had caused his company to go bankrupt, and there was nothing he could do about the situation.

 

Zamami said: “We don’t know what to do. We’ve lived in this house for 15 years and saved all this money for this work — it was our dream.”

 

In January last year, Nazgul Zamami approached builder Shalu Singh, who then introduced her to Shane.

 

Shane quoted 155,000. Zamami accepted and paid his company, New Life Construction Workz Ltd, a deposit of NZ$53,000.

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Over the following months, Shane and a small team renovated the kitchen, bathroom and outdoor areas. They also extended the living room and added an outdoor area above the garage.

 

Although they had agreed that payments beyond the deposit would be due only on completion, Shane repeatedly demanded more money during construction and threatened to stop work if he was not paid.

 

 

 

Zamami said she paid Shane NZ$207,000 in total. But after about four months, he stopped turning up altogether. He kept saying he was too busy and would return when he had time, but he never came back.

 

The work Shane had completed was also shoddy. On 6 June this year, Auckland Council compliance staff said all the work was non-compliant and issued a dangerous building notice.

 

 

Zamami called Shane again on 18 June, but there was no answer. On 20 June, she discovered that his phone had been disconnected.

 

Zamami complained to police but was told it was a civil dispute between her and the builder. Her insurer gave the same response. She contacted Shane’s business partner, who told her Shane had been deported to Fiji, where his wife and two children lived.

 

Zamami was not the only victim. Pawanjit Kaur, who wanted to build a new home, signed a contract worth 450,000 with Shane Singh. But after paying an advance of 50,000 on 17 June, Kaur could no longer find him.

 

 

Kaur’s husband even travelled to Fiji in pursuit of Shane and found his home, but Fijian police said the matter was for New Zealand police.

 

Zamami and Kaur have both now complained to New Zealand police, who said they were dealing with a complaint received on 1 July.

 

Immigration New Zealand confirmed that Shane Singh was deported on 20 June. On the same day, the High Court in Auckland declared his company bankrupt.

 

Registered Master Builders Federation chief executive David Kelly said homeowners must carry out due diligence before hiring a builder.

 

If a builder belongs to an organisation such as the Registered Master Builders Federation, homeowners can receive some protection if problems arise during construction.

 

Victim Pawanjit Kaur said Shane seemed like a very nice person and his references looked good. But appearances can be deceptive, and homeowners must investigate thoroughly before hiring tradespeople.

 

This includes checking whether they are qualified and licensed, what building projects they have completed and what their reputation is like. Verify these details carefully; do not simply take the builder’s word for it.