Trio of hospitality companies owe $1.9m to Inland Revenue

Friday, 31 October 2025

Jimmys Smoke House opened in 2022 in the former Tiffany’s building in Christchurch. It has been sold to an unrelated owner.

The tax department is chasing nearly $2 million after the liquidation of three companies behind “under-performing” restaurants, all directed by a Christchurch hospitality figure.

Jimmys Smoke House Ltd, Sake Brothers Ltd, and Sushi & Zenbu Ltd were placed into voluntary liquidation on October 21. All are directed by Jung Sub Kim.

Koji on Lincoln Rd in Addington was sold last year.

Those companies respectively owned Jimmys Smoke House by the Avon River in central Christchurch, which was sold this month; Koji restaurant in Addington, which was sold last year; and a restaurant in Invercargill that sold in July.

In 2023, Jimmys Smoke House said it created 90% of the food it sold from scratch at the restaurant.

Initial liquidator’s reports from Ashton Wheelans revealed hefty debts to Inland Revenue, with $1.9m owed across the companies so far.

Kim advised liquidators that each restaurant had been “under-performing financially, which has subsequently led to challenges in managing and accurately accounting for incoming expenses”.

Furthermore, Sake Brothers specifically had been “unable to collect management fees”, Kim indicated.

Liquidator Laura Devine-Giles was yet to record the proceeds from the sales – Koji to a related buyer, the others to unrelated buyers – or calculate other assets.

“On the basis of information received this is an insolvent liquidation and there is likely to be inadequate funds available to satisfy all creditors,” Devine-Giles said in each report.

Sake Brothers owes an estimated $1.4m to Inland Revenue, while the other companies - both part-owned by Sake Brothers – owe about $250,000 each.

Those companies owned Jimmys Smoke House in central Christchurch, which was sold this month, Koji restaurant in Addington (above), which was sold last year, and a restaurant in Invercargill that sold in July.

Coca Cola, Red and White Cellar and Kaans Catering Supplies were among the other secured creditors.

Last year, Kang Hyuk Lee and Young Joo Lee took Sake Brothers and its director, Kim, to the Employment Relations Authority, claiming they were unjustifiably dismissed.

But the authority found their exit - after Kim discovered they made small personal purchases on the business card - was actually a resignation. The pair were, however, awarded about $4000 in unpaid wages in November 2024.

Kim, who was part of Sake Brothers since its incorporation in 2017, was approached for comment.

The new owners of Jimmys Smoke House and Koji were approached for comment.