“We have been left with no other alternative than to wind down the facility,” Mr Cauchi said in the letter.
“Due to the financial state of the facility, a closure is now unavoidable.”
Federal Member for Nicholls Damian Drum previously said DP Jones "is staying open, end of story".
“There are no conversations about shutting the place down,” he said.
But yesterday Mr Drum said things had not gone to plan.
“We’ve been trying to keep it open for the last three months and we’re still trying everything we can,” he said.
“Because they were trading while insolvent, they had no other option but to engage an administrator.”
Mr Drum said the government would try to pressure the Aged Care Minister Richard Colbeck to intervene and save Murchison.
Murchison Community Action Group chair Warwick Gregory said closing the nursing home would devastate the Murchison community, destroying people's livelihoods while forcing long-time residents to leave.
“It’ll rip the guts out of the town, it’s like putting a bulldozer through it,” he said.
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