Hot Topics

Regulation/Legislation

ASIC, ATO, FEG, INO Opinion, Regulation/Legislation 7 September 2018

Has a passive ATO facilitated phoenix activity?

COMMENT: In Pitcher’s Phoenix Probe Yields Liquidators’ Names we revealed how as part of their investigations into the alleged A&S Services tax avoidance scheme, Pitcher Partners had contacted 100 registered liquidators Australia wide who had accepted referrals from A&S or associated entities, “querying if those liquidators had identified the appointment of dummy directors and/or phoenix transactions”. According to Pitcher’s Lindsay Bainbridge, overwhelmingly the various liquidators did identify…

ASIC, Liquidators, Regulation/Legislation, Social/Professional, SPL 31 August 2018

Reviewing liquidators Panel – ASIC forgets the DIRR

Hard on the heels of ex-Treasurer Peter Costello’s savaging of the corporate regulator comes INO’s own ASIC-induced fulmination, ignited by an erroneous response to a straight forward question about the proposed Reviewing Liquidators Panel (RLP). As many INO readers will know, on Tuesday this week Thea Eszenyi from ASIC’s Insolvency Practitioners Stakeholder Team sent an email to registered liquidators advising that ASIC was establishing a Reviewing Liquidator Panel (RLP),…

ASIC, Fees, INO Opinion, Liquidators, Regulation/Legislation 22 August 2018

Liquidator’s Levy could fuel phoenix phenomenon

It was late in 2016 when the Full Bench of the NSW Supreme Court of Appeal sat to hear why one of their own had, in his enthusiasm for applying the concept of proportionality to liquidator’s remuneration, charted a course described that day by the appellant’s counsel as “without juridical basis.” The appellant on that Wednesday in November was Cliff Sanderson, a registered liquidator. The legal…

ARITA, ASIC, ATO, Discipline, Regulation/Legislation 17 August 2018

Industry acts as Treasury releases phoenix reforms

Federal Treasury yesterday released its Reforms to combat illegal phoenix activity – Draft Legislation and the insolvency industry’s key association produced a summary of the exposure draft’s key points and invited members to provide feedback for inclusion in the Australian Restructuring Insolvency & Turnaround Association’s (ARITA) submission. The reforms – which are a centrepiece of Financial Services Minister Kelly O’Dwyer’s anti-phoenix crusade, will: Create new phoenix offences to target those…

ASIC, Discipline, Fees, Liquidators, Regulation/Legislation 15 August 2018

Comment: Industry funding could decimate profession

INO was having coffee with an insolvency practitioner (IP) the other day when the conversation turned to the Industry Funding Model (IFM). Pulling a document from his briefcase the IP showed how the Australian Securities and Investments Commission (ASIC) had arrived at a sum of almost $20,000 it intends to claim from his modest single liquidator firm when it begins issuing invoices in January, 2019. Confirming that…

AFSA, Bankruptcy, INO Opinion, Regulation/Legislation 6 July 2018

Regulators continue jihad on practitioner compliance

COMMENT Presenting oneself as a fierce and tireless scrutiniser of insolvency practitioners is all the rage among the relevant regulators at the moment. The view among much of the bureaucracy seems to be that these highly qualified professionals cannot be trusted and only heavy regulatory shackles will prevent them from abusing their position to the detriment of all. It’s nonsense of course but regulation is…

Costs, Judgment, Liquidations, Liquidators, Regulation/Legislation 6 July 2018

Deloitte partner rebuffed on costs challenge

Deloitte’s David Mansfield has come away with a shiner from a challenge he brought on in the District court of NSW after an earlier bout left him bloodied and leaking costs. In December 2017 a NSW District Court judge ordered Mansfield to pay the costs of a defendant in proceedings he’d brought against directors of the Camperdown Bowling & Recreation Club Ltd (CB&RC). Mansfield was appointed…

lodgement

ASIC, INO Opinion, Liquidators, Regulation/Legislation, Social/Professional 15 June 2018

ASIC’s liquidator’s lodgement blitz uncovers not much

Well the results of ASIC’s published notices website and lodgement project’ have been collated and it appears that the vast majority of Australia’s 700 or so registered liquidators scarcely miss a beat when it comes to compliance. In ASIC works to ensure registered liquidators comply with obligations ASIC said the key finding was that: “Registered liquidators are mostly doing the right thing and lodging forms…

AFSA, ASIC, ATO, Bankruptcy, Costs, Discipline, FEG, Liquidators, Litigation Funding, Regulation/Legislation, Social/Professional 25 May 2018

Promotion: AIIP Conference tackles big questions

Some of the profession’s most pressing questions will be explored and potential solutions debated at the inaugural Association of Independent Insolvency Practitioners (AIIP) Conference to be held next month in Canberra. Questions around safe harbour; pre-packs; litigation funding, law reform and what the future might have in store will all be canvassed at the Disruption in the Insolvency Industry Conference on June 28 and 29…

FEG, Regulation/Legislation 16 May 2018

FEG boss promises “big year” after audit office tick

For those in the profession who’ve yet to endure an encounter with the FEG Recovery Unit or are in the middle of a melee with FEG over fees and the like, take heed of the following comment made yesterday by Henry Carr, Director of the Fair Entitlements Guarantee Recovery Team. “I have a great team of experienced accountants and lawyers and with the the support of the industry…