A former director of M3 Building and Construction Pty Ltd (M3) has been ordered to pay $18,000 in fines and costs in the latest outcome relating to the now-defunct Perth company following investigations by Building and Energy.
On 6 August 2021, the State Administrative Tribunal (SAT) ordered Stewart Martincic to pay a $15,000 fine and costs of $3,000.
The matter related to Mr Martincic's conduct while he was the co-director of M3, a registered building contractor (BC14171, expired) that entered external administration in September 2016.
The SAT found Mr Martincic contravened WA's building registration laws when he allowed M3 to carry out building work for almost five months in 2015 while the company had no nominated building supervisor.
Information presented by Building and Energy to the SAT showed that work carried out at three sites during this period included brickwork, roof framing, wall demolition, pouring footings and rebuilding pillars.
The SAT also found that Mr Martincic failed to ensure that M3's building services were carried out in accordance with the required standards, plans and specifications.
A Building and Energy investigation found that 29 inspections across 10 M3 worksites between 2013 and 2015 revealed serious defects such as non-compliant work, poor workmanship, incorrect materials and unapproved variations from approved plans.
Handing down her findings, SAT Member Patricia Le Miere said: "Mr Martincic sanctioned M3 continuing to carry out building services in the knowledge that M3 did not have a nominated supervisor and further that this was contrary to M3's registration requirements as a building service contractor."
Ms Le Miere added: "I find that Mr Martincic, one of only two directors of M3, did not take any steps to ensure M3 had systems or arrangements in place to ensure that all building services carried out by M3 were carried out in accordance with applicable building standards.
"I find that Mr Martincic was aware that the regulated building service provided by M3 to the 10 sites…was not carried out in a proper or proficient manner or was faulty or unsatisfactory.
"I find that Mr Martincic did not take any or any sufficient steps to cause M3 to remedy the faulty or unsatisfactory work or to prevent further unsatisfactory work being carried out."
The findings against Mr Martincic follow the SAT's $8,000 fine in March 2021 against M3's other director, Marco Marusco, who admitted deceiving clients about the company's projects and his part in failing to ensure proper management and supervision.
Also in March 2021, the SAT fined James Raymond Hudson $4,000 after he admitted that he had failed to carry out his responsibilities properly while he was M3's nominated building supervisor.
A matter involving another former M3 nominated building supervisor, Gordon Morton, is still before the SAT.
Following a District Court trial in 2018, Mr Martincic's former partner, Annabelle Martincic, was sentenced to six years in jail for stealing more than $1 million from M3. Building and Energy was not involved in this case.
