BRI four sued after losing gig to KordaMentha

Don’t speak the name New Wilkie Energy (NWE) too loudly in BRI Ferrier’s Sydney and Brisbane offices.

Maybe don’t mention Remagen Capital’s Simon Raftery at all.

iNO’s mail is that when it comes to that company and that individual the firm’s principals are somewhat dissatisfied.

“We note that we have not received any funds under the Deed of Indemnity to date.” The former VAs of New Wilkie Energy.

A former BRI director, Raftery these days acts as a corporate advisor in the distressed resources space and New Wilkie Energy certainly fits the bill, having been placed into voluntary administration (VA) on December 27, 2023.

The referral came to BRI from Spark Helmore’s Shane Williamson but the way was smoothed by Raftery, who contacted BRI Ferrier Sydney principal Andrew Cummins on December 12 to discuss a possible appointment.

Raftery went on to have further conversations with Cummins and BRI Ferrier Sydney principal Peter Krejci.

On December 21 Cummins, Krejci, Sydney colleague John Keenan and BRI Brisbane principal Stefan Dopking met with Raftery and some of New Wilkie’s senior management.

The four were subsequently appointed VAs, they lodged a DIRRI on December 29 and then an updated DIRRI on January 8.

According to that replacement document, the VAs had entered into a deed of indemnity with Raftery’s S B Invest NWE Pty Limited, a special purpose entity incorporated on December 12, 2023 for the purposes of providing the VAs with up to $4 million in funding to keep NWE’s Wilkie Creek coal mine operating while the VAs found a buyer.

Pointedly, the final entry in the replacement DIRRI’s section on indemnities and upfront payments disclosed: “We note that we have not received any funds under the Deed of Indemnity to date.”

Nor did they ever receive any funding from SB Invest NWE and at the first meeting of creditors on January 9 the BRI four were ousted.

Creditors voted first in favour of a resolution calling for them to be removed and replaced by EY’s Morgan Kelly, Sam Freeman, Justin Walsh and Robyn Duggan and then voted in favour of a further resolution replacing the EY four with David Johnstone, Richard Tucker and David Osborne of KordaMentha.

The BRI four might have thought that that was the end of the disappointments derived from their involvement with NWE and Raftery but this month a claim was filed in the District Court of Brisbane by a trade creditor demanding $375, 738.95c for labour and truck hire services the plaintiff claims the BRI four are liable for.

The claim alternatively seeks damages in the equivalent amount for what it alleges is misleading and deceptive conduct, plus interest and of course costs.

The creditor is being represented by HWL Ebsworth’s insolvency and restructuring head in Brisbane, Matthew Broderick, who was active in supporting those creditors at the first meeting who wanted the BRI four gone.

The former VAs are defending the proceedings but declined to comment when contacted.

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