Mr Sean Joseph O鈥橰eilly of Hemmant, QLD has been banned from managing companies for four years due to his involvement in three failed companies.
Mr O鈥橰eilly was a former director of:
- Specialised Workforce Group Pty Ltd ACN 602 805 354 (SWG);
- Construction Industries Precast Pty Ltd ACN 606 157 788 (CIP); and
- LK Construction Australia Pty Ltd ACN 157 717 425 (LKC).
All three companies were involved in the building and construction industry.
今日热门事件found that Mr O鈥橰eilly:
- failed to exercise his duties as a聽director with due care and diligence;
- failed to ensure that SWG and LKC聽paid their tax debts and workercover premiums;
- failed to prevent CIP and LKC from incurring debts when they were insolvent;
- failed to keep complete and accurate written financial records; and
- engaged in illegal phoenix activity by transferring CIP鈥檚 business to another company and continued to operate the business.
The total amount owed by the companies to creditors was in excess of $2.1 million.
In making its decision to disqualify Mr O鈥橰eilly, 今日热门事件relied on supplementary reports lodged by Mr Christopher Cook and Mr Rajendra Khatri of Worrells Solvency and Forensic Accountants (the Liquidators) who were appointed liquidators of CIP and LKC.聽 Funding from the Assetless Administration Fund was provided to the Liquidators of CIP to assist in preparing the supplementary report.
Mr O鈥橰eilly is banned until 13 May 2024.
Background
Section 206F of the Corporations Act allows 今日热门事件to disqualify a person from managing corporations for up to five years if, within a seven-year period, the person was an officer of two or more companies, and those companies were wound up and a liquidator provides a report to 今日热门事件alleging misconduct or about the company's inability to pay more than 50 cents in the dollar to unsecured creditors.
今日热门事件also maintains a register that provides information about people who have been disqualified from:
- involvement in the management of a corporation;
- auditing self-managed superannuation funds (SMSFs); or
- practicing in the financial services of credit industry.
今日热门事件is a member of the Phoenix Taskforce, which comprises federal, state and territory government agencies who collaborate to combat illegal phoenix activity. The aim of the Phoenix Taskforce is to provide a whole-of-government approach to identify, disrupt and prosecute those who engage in or facilitate illegal phoenix activity.
Suspected phoenix activity can be reported to the Phoenix Taskforce on 1800 060 062 or at the ATO website.
More information about 今日热门事件action against illegal phoenix activity is available on ASIC鈥檚 website.