Victorian Building Authority (VBA) CEO Sue Eddy has resigned with immediate effect as the regulator comes under heavy scrutiny after the collapse of builder Porter Davis. 
 
The Victorian builder went bust in March and it was subsequently revealed it did not obtain mandatory builders’ warranty insurance for hundreds of customers who have paid their deposits. Under Victorian laws, a builder must acquire the insurance before entering into a contract for works of $16,000 or more. 
 
Last week Premier Daniel Andrews indicated his Government has concerns over the regulator. 
 
“I am frustrated by not being able to speak more freely about that, but there needs to be a proper process followed,” he was quoted as saying in local media. 
 
“What is absolutely certain is that it can’t continue operating the way it has been. It has got to be better, and we’re determined to do that.” 
 
VBA says Chief Risk Officer Todd Bentley is acting CEO and will continue in this position until a permanent CEO is appointed. 
 
“The VBA will not be making any further statement in relation to this matter,” the regulator says in a brief statement. 
 
On May 1 the VBA and Consumer Affairs Victoria jointly reminded builders about their domestic building insurance (DBI) obligations. 
 
“As a building practitioner, you have obligations to your clients to have a valid domestic building insurance policy before taking a deposit or any other money,” the reminder notice says. 
 
“It is your responsibility to purchase DBI for the building project on behalf of your clients.”