iNO’s weren’t the only brows hoisted aloft when FerrierSilvia principal Brian Silvia appeared to tell creditors at the first meeting of Toplace Pty Ltd that he could draw on staff from BRI Ferrier NSW if he needed to bulk up for a big job.
BRI Ferrier? Wasn’t Silvia’s 2020 departure from the firm he founded in 2008 – along with loyal defectees – one of the most acrimonious splits in the profession since PPB Advisory’s Melbourne practice engineered an unwelcome takeover by PwC?
Well if what we thought we heard Silvia say was correct then no. There was the veteran liquidator, microphone in hand at the Drummoyne Oval function centre last Wednesday afternoon, name dropping “BRI Ferrier” and uttering “shared services” as if the two firms have an agreement in relation to resources that would enable FerrierSilvia to call on additional firepower from his old firm at need.
Silvia had turned up at the meeting seeking to to convince Toplace creditors that he and FerrierSilvia partner Geoff Grainger would make better administrators than the incumbents, Antony Resnick and Suelen McCallum of dVT Group.
But comments made in a room crowded with restive and voluble creditors can be misheard or misconstrued, as Silvia explained when iNO sought clarification.
“I mentioned BRI Ferrier “Shared Services” at the Toplace creditors meeting not BRI Ferrier (ongoing),” Silvia said in an email response to our enquiries.
“BRI Ferrier (NSW ) Pty Ltd ATF for BRI Ferrier (NSW) Trust ( of which my family trust owns 76 per cent) continues as a separate entity to Peter Krejci’s new business, operating as BRI Ferrier in NSW, owned by his new entity Novabrif Pty Ltd.
“Oldco has continued to employ staff since our split at an effective date of 30/6/2020, employing Shared Services staff who attend to back-office functions undertaking administrative work on assignments, including new matters.
“This arrangement continues to operate until later this year, when we will each make our own separate arrangements going forward,” Silvia said
In additional correspondence Silvia referred to a relationship maintained “for in excess of thirty years with a specialist construction services Chartered Accounting firm” and “an extremely close relationship with another Insolvency Practice headed up by a former staff member from my days at Ferrier Hodgson. Both of these firms have a capacity to assist me in the event of major assignments,” he said.
“The resources we have available to us are more than adequate to undertake an assignment of the proportions of a matter such as Toplace,” Silvia said.
Unlike the BRI Ferrier name drop however, he didn’t identify either firm during his creditors’ address.
Not having the benefit of the meeting Minutes to confirm precisely what was said iNO next sought out BRI Ferrier NSW partner Andrew Cummins for comment in respect of the sharing arrangement.
“Yes there are arrangements in place in respect of “shared services” staff,” Cummins confirmed.
“They compromise two unqualified staff who provide back office services.
“They are employed by BRI Ferrier Office Services Pty Limited not the company formerly known as BRI Ferrier NSW Pty Limited. This arrangement comes to an end in October 2023.
“These staff:
- maintain cash books for insolvency appointments;
- enter payments into online banking facilities;
- prepare ASIC form 5602s for lodgement; and
- reconcile bank accounts.
“Beyond that they are not available (nor are they capable) of attending to tasks which are normally undertaken by professional insolvency staff,” Cummins said.
Cummins also said he’d been contacted by others enquiring about Silvia’s comments at the Toplace meeting.
“It has been put to us by a couple of parties who attended the Toplace creditors’ meetings that what Brian actually suggested was that he was able to access BRI Ferrier staff (ie our professional staff not back office staff) if they were required to assist in such a large engagement,” Cummins said.
“This is completely incorrect. There is no prospect whatsoever of BRI Ferrier providing any assistance to Brian or Ferrier Silvia on any matter,” he said.
Clearly some attending the meeting attributed to Silvia’s words about his firm’s resources a meaning different to that which he says was intended.
No doubt Silvia will take care next time, which will be quite soon as iNO’s mail is that he will be seeking to be installed as administrator of other Toplace entities at first meetings today.
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