ASIC has disqualified David John Parker of Coolangatta, Queensland, from managing corporations for the maximum period of five years due to his involvement in the failure of the following 4 companies:
- Quality Corporate Management Pty Ltd ACN 619 556 464
- Carnz Restaurant Services Pty Ltd ACN 643 558 543
- Complete Home & Marine Pty Ltd ACN 113 066 032
- All Concrete SLD Pty Ltd ACN 122 739 235
Quality Corporate Management Pty Ltd sourced and supplied labour specialising in security services. Carnz Restaurant Services Pty Ltd provided labour hire to several businesses operating in the food and accommodation industry. Complete Home & Marine Pty Ltd provided custom home theatre outfitting, 'smart home' electronics, satellite connection and under-floor heating. All Concrete SLD Pty Ltd provided construction services for residential and commercial projects involving 'tilt-up' panels, earthmoving and road construction.
At the time of ASIC's decision, the four companies owed over $3 million to unsecured creditors. This included over $1 million owed to the ATO.
ASIC found that Mr Parker acted improperly and failed to meet his obligations as director in that he:
- failed to ensure company compliance with continuing statutory obligations to lodge outstanding business activity statements, annual income taxation returns and PAYG payment summaries and to repay outstanding taxation debt in a timely manner
- failed to ensure that companies maintained and kept adequate books and records, including Quality Corporate Management Pty Ltd, which failed to properly record approximately $19m worth of inflows and outflows in its bank accounts
- failed to secure control over All Concrete SLD Pty Ltd's bank account, allowing the former director to retain access to funds held, collect debts and make payments to third parties, and
- failed to complete and submit a ROCAP to the liquidator of All Concrete SLD Pty Ltd within the time required.
In disqualifying Mr Parker, ASIC relied on supplementary reports lodged by Steven Naidenov of Aston Chace Group, liquidator of Quality Corporate Management Pty Ltd, Shumit Banerjee of Westburn Advisory, liquidator of Carnz Restaurant Services Pty Ltd and Mohammad Najjar of Vanguard Insolvency Australia, liquidator of All Concrete SLD Pty Ltd.
ASIC assisted to prepare the statutory reports by providing funding from the Assetless Administration Fund.
Mr Parker is disqualified from managing corporations until 24 March 2031.
Mr Parker has the right to seek a review of ASIC's decision by the Administrative Review Tribunal.
Background
Section 206F of the Corporations Act allows ASIC to disqualify a person from managing corporations for a maximum period of 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 ASIC about each of the company's inability to pay its debts. ASIC maintains a banned and disqualified persons register that provides information about people who have been disqualified from:
- involvement in the management of a corporation
- auditing self-managed superannuation funds, or
- practising in the financial services or credit industry.
