dVT Group founders Riad Tayeh and Antony De Vries have instructed their lawyers to appeal a judgment that could see them facing bankruptcy proceedings in respect of investor loans issued by failed agri-scheme operator Timbercorp.
Solicitor Marc Ryckmans of Somerset Ryckmans today confirmed that his clients had instructed him file an appeal to the judgment of Victorian Supreme Court Judge Peter Riordan, who on February 5 ruled that Tayeh and De Vries are personally liable to pay principal and interest on $1,226.648.54c they borrowed in 2006 and 2007 to fund their entry into the myriad and ill-fated managed investment schemes offered by Timbercorp.
“In the event that any appeal is unsuccessful my clients intend to then seek leave to appeal to the High Court of Australia,” Ryckmans said.
You can read the judgment at: Timbercorp Finance Pty Ltd (in liq) v De Vries [2021] VSC 37 (5 February 2021)
Ryckmans said his clients believe that Timbercorp was a ponzi scheme and that none of the judges who’ve presided over its lengthy history of litigation have adequately grappled with questions about Timbercorp’s structure, how the responsible entities for the agri-schemes were funded and the legitimacy of how investor loans were characterised.
He also said Timbercorp’s liquidators, Craig Shepard and Mark Korda of KordaMentha had similarly not dealt with the issues in respect of whether the investors can properly be pursued for the loans.
“My clients are confident that if the evidence is properly considered the loans will be found to be unenforceable due to statutory illegality or because the journal entries were in truth not accompanied by any payment in actual cash to satisfy payment of management fees owed to the RE,” Ryckmans said.
Any appeal of the judgement of Justice Riordan must be filed with the Victorian Court of Appeal by March 19.
Ryckmans said that if Shepard and Korda in the meantime issue bankruptcy notices to his clients in respect of the Riordan judgment and file creditors petitions the Federal Court would likely adjourn any sequestration hearing until the outcome of the appeal is known. Support INO’s continued chronicling of the insolvency sector.
Further reading:
DVT Founders Cop Whopper Timbercorp Debt
One should ask a question of De Vries and Tayeh isf they ever claimed a tax deduction on any part of their investment in Timbercorp.
If so,if they claim a tax deduction,how can they feel they dont have to repay
Andrew
Perhaps they can file an amended claim and say it was a bad mistake! Repay the tax with GIC.
Most of these such schemes are promoted largely as “Tax Management Strategies”, remember Macadamia Plantations, Tea Tree Oil , Films, so on and so forth.So Andrew Ashtons point is well made.
Shirley there will be a lot of GIC.
Peter, great article. Highlights first world problem for some, too much money and too much tax to pay. The scheme sounded good at the time.