Windigo has been forced to pay $14m in fines and penalties after it failed to complete a $20m deal with the federal government to provide disaster relief to the Great Barrier Reef.
The company has also been fined $3m for failing to properly register and ensure it had all the necessary documents.
It will also pay $4m in penalties for failing in its obligation to provide documentation to federal officials, as well as $4.5m for not being in compliance with a court order to register and provide information.
Mr Smith said the company had paid out $18m in compensation to the federal Government.
He said it was also committed to paying the full costs of the agreement.
“The biggest loser in this whole mess is Windigo,” Mr Smith told ABC Radio National.
“Windigo’s not a big company, they’re a family company, but it is a big blow for them.”
Federal officials had sought $2.4bn to provide $20bn worth of disaster relief and $400m in aid for the Great Flood and other disasters, which affected nearly 2.4 million people.
Windigo, based in Brisbane, Queensland, was contracted to supply relief and recovery to the state for two years.
But the Federal Government said it had not received its payment until March.
Windigos CEO Brian Smith said he was “very disappointed” Windigo had failed to meet the deadline.
“We’re just disappointed the federal department has not met the deadline,” he said.
Mr Smith also said Windigo was working to get $10m of debt waived. “
They’re going to have to be held to a higher standard.”
Mr Smith also said Windigo was working to get $10m of debt waived.
“It’s a shame that Windigo didn’t meet its obligation,” he told ABC radio.
“In our view, the whole process is a little bit haphazard, it’s not well executed, it should have happened sooner.”
The Federal Government announced the windigo deal on Monday and Mr Smith thanked the company for its work.
“Our first priority is the safety of the people and environment of Australia, and this settlement is a clear acknowledgement of that responsibility,” he wrote on the company’s website.
“This settlement ensures the safety and well-being of our people and the environment.”
Mr Gove said the deal showed Windigo did its best to meet federal obligations, but was still “not at full capacity”.
Mr Gocher said the settlement was a major victory for the Australian people and a “good start” to the clean-up process.
He described the deal as “a huge victory for Windigo” and said he hoped the company would be able to repay the Government “in the coming weeks”.
Mr Smith has previously said the windigos failure to meet its obligations had been due to a lack of clarity about the process and the level of risk.
Mr Gosey said that “if we could’ve got windigoes compliance right in the middle of that process” they could have avoided $2m in liabilities.