Tuesday 5 December 2006 LAWFUEL – Law News Network – The Australian Securities and Investments Commission (ASIC) has disqualified nine directors from managing corporations during the month of November following their involvement in failed companies. Mr Anthony James Taylor ASIC has banned property developer, Mr Anthony James Taylor, of Oakville, New South Wales, for the maximum period of five years. Mr Taylor’s banning follows an investigation by ASIC into his involvement in failed companies, MSTA Pty Ltd and Clucor Pty Ltd.
This investigation found that Mr Taylor had managed MSTA Pty Ltd, Clucor Pty Ltd and 11 other companies within five years of a fraud conviction in October 2000. ASIC also found that Mr Taylor had failed to pay statutory debts owing to the Australian Taxation Office and had allowed Clucor Pty Ltd to trade while insolvent. Further, Mr Taylor had allowed Clucor Pty Ltd to enter into loans at interest rates that were described as being ‘extortionate’ and engaged in transactions to divert company property for his own benefit. In disqualifying Mr Taylor, ASIC also took into account his convictions in 2005 on five counts of managing corporations while disqualified and four counts of failing to assist liquidators.
Mr Adam John Taylor ASIC has also banned Mr Taylor’s son, Mr Adam John Taylor, of Oakville, New South Wales, for two years as a result of his involvement in MSTA Pty Ltd and Clucor Pty Ltd. ASIC found that Mr Taylor breached his directors duties by allowing his father to engage in uncommercial and fraudulent transactions concerning Clucor Pty Ltd. Further, Mr Taylor allowed Clucor Pty Ltd to trade while insolvent and permitted his father to manage a company while disqualified. Mr Domenico Ferrara ASIC has banned construction materials and formwork supplier, Mr Domenico Ferrara, of Greenacre, New South Wales, for the maximum period of five years.
Mr Ferrara’s banning follows an investigation into his involvement in the failure of three failed companies, Domenic Formwork Pty Ltd, Domenic Ferrara Constructions Pty Ltd and Demici Formwork Pty Ltd. ASIC found that Mr Ferrara had failed to exercise his duties as a director of Domenic Formwork Pty Ltd in good faith and in the best interests of the company by failing to pay employee superannuation entitlements and ensuring company assets were kept separate from his own personal assets.
Specifically, ASIC found Mr Ferrara withdrew funds from the company account three days prior to the liquidator’s appointment to pay for his daughter’s wedding. Mr Ferrara also used company funds to pay for his electricity and water bills, council rates and a speeding fine. ASIC further found that Mr Ferrara had failed to maintain adequate books and records and had managed Domenic Ferrara Constructions Pty Ltd while an undischarged bankrupt. Mr Ferrara also failed to assist liquidators and concealed company motor vehicles from the liquidator of Domenic Ferrara Constructions Pty Ltd. Mr Phillip Ronald Coombe ASIC has banned binding machine entrepreneur, Mr Phillip Ronald Coombe, of Parramatta, New South Wales, for five years.
Mr Coombe’s banning follows an investigation into his involvement in the management of three failed companies, FBM (Australia) Pty Ltd, Multitec Graphics Pty Ltd and Multitec Mailing Pty Ltd. ASIC’s investigation found that Mr Coombe had failed to maintain proper financial records in respect of all three companies and allowed Multitec Graphics Pty Ltd and Multitec Mailing Pty Ltd to trade while insolvent. Further, Mr Coombe had failed to exercise due care and diligence as a director of FBM (Australia) Pty Ltd by diverting payments belonging from debtors of FBM (Australia) Pty Ltd to an associated company. Mr Paul Anthony Jennings ASIC has banned builder, Mr Paul Anthony Jennings, of Maroubra, New South Wales, for four years.
Mr Jennings’ banning follows an investigation into his involvement in eight failed companies, BMP Constructions Pty Ltd, BMP Administration Pty Ltd, BMP Group Pty Ltd, Bluemask Pty Ltd, Topwish Pty Ltd, Playmask Pty Ltd, BMP Facilities Management Pty Ltd, and BMP Electrical Pty Ltd. ASIC found that Mr Jennings had failed to pay taxes due to the Australian Taxation Office in respect of BMP Constructions Pty Ltd, BMP Administration Pty Ltd and BMP Group Pty Ltd and had failed to ensure that adequate records were kept in regards to these companies. Mr Jennings also allowed the companies to trade while insolvent. Mr Ming Lee ASIC has banned building materials supplier, Mr Ming Lee, of Baulkham Hills, New South Wales, for three years.
Mr Lee’s banning follows an investigation into his involvement in the management of three failed companies, Golden Building Materials Pty Ltd, Glanpark Pty Ltd and Golden Plasterboard Pty Ltd. ASIC found that Mr Lee had failed to pay statutory debts including group tax and had not maintained adequate books and records. Mr Lee was also convicted in February 2006 of failing to assist the liquidator of Golden Building Materials Pty Ltd by not providing the company’s books and records. Page
Mr Allan William Bolton ASIC has banned welder, Mr Allan William Bolton, of Geraldton, Western Australia, for three years. Mr Bolton’s banning follows an investigation into his involvement in two failed companies, B.Co Rural Pty Ltd and B.Co Welding Services Pty Ltd. ASIC found that Mr Bolton had failed to keep proper books and records for both companies and assist liquidators. Mr Brian Joseph Canty ASIC has banned hospitality services provider, Mr Brian Joseph Canty, of Emerald, Queensland, for three years. Mr Canty’s banning follows an investigation into his involvement in relation to three failed companies, Keppel Haven Services Pty Ltd, Keppel Tourist Services Pty Ltd and Keppel Haven Pty Ltd. ASIC found that Mr Canty had failed to maintain proper books and records for both companies.
He also failed to provide the administrator of Keppel Tourist Services Pty Ltd with a statement of affairs regarding the company’s business, property, and financial circumstances. Mr Richard Knebel ASIC has banned kitchen manufacturer, Mr Richard Knebel, of Tapitallee, New South Wales, for three years. Mr Knebel’s banning is a result of his involvement in four failed companies, Groedel Kitchens Manufacturing Pty Ltd, Kitchenland Pty Ltd, Bavarian Woodworking Company Pty Ltd and R.M.J Management Services Pty Ltd.
ASIC found that Mr Knebel had failed to pay statutory debts for all four companies and properly account for taxation and superannuation liabilities in the financial records of R.M.J Management Services Pty Ltd. Mr Knebel also permitted R.M.J Management Services Pty Ltd and Groedel Kitchens Manufacturing Pty Ltd to trade while insolvent. ‘ASIC will not hesitate to disqualify company officers who disregard their obligations under the law’, said ASIC’s Deputy Executive Director of Consumer Protection, Ms Delia Rickard. The above disqualified directors have the right to appeal to the Administrative Appeals tribunal for a review of ASIC’s decision. For further information contact: Delia Rickard Deputy Executive Director, Consumer Protection Telephone: (02) 6250 3801 Mobile: 0412 673 026 Emma Forehan ASIC Media Unit Telephone: (03) 9280 3354 Mobile: 0409 702 310
