The $3 billion failure of property developer Bathla Group serves as a stark warning about the vulnerabilities within the private credit market, drawing attention from Wall Street to western Sydney.

Following the $3.6 billion bankruptcy of Sydney-based Bathla Group, former employees have come forward claiming the developer faced significant difficulties paying contractors prior to its collapse.

Major Sydney property developer Bathla Group has collapsed, citing a 'perfect storm' of conditions, which has left numerous property buyers in an uncertain situation. The company's failure impacts many who had purchased properties from them.