The Fair Work Ombudsman has commenced legal action against a Melbourne transport company and its director for allegedly failing to comply with a Fair Work Commission order to pay compensation to an unfairly dismissed worker.
Facing court are Vardan Towing & Transport Pty Ltd, based in Truganina, and its sole director Kiranpreet Singh Dhaliwal.
Vardan Towing & Transport employed the affected worker as a transport co-ordinator/dispatcher from September 2023 until it dismissed him in May 2024.
The Fair Work Commission found Vardan Towing & Transport had unfairly dismissed the worker and, in January 2025, ordered the company to pay the worker $27,375 compensation within 14 days.
The FWO investigated after the matter was referred by the Fair Work Commission.
The FWO alleges Vardan Towing & Transport has made some payments to the affected worker but that more than half of the compensation remains outstanding.
The FWO has now commenced legal action, after attempts to secure full voluntary compliance with the compensation order were not successful.
The FWO alleges Vardan Towing & Transport has breached the Fair Work Act by failing to fully comply with the compensation order, and that Mr Dhaliwal was involved in the breach.
Fair Work Ombudsman Anna Booth said the legal action would reinforce the importance of complying with Fair Work Commission orders.
"It is fundamental for the integrity of the workplace relations system that Fair Work Commission orders are complied with," Ms Booth said.
"A sum of more than $27,000 is significant for any worker, and the Fair Work Ombudsman is prepared to take legal action to ensure that employees receive all compensation they are lawfully entitled to.
"Any workers with concerns should contact us for free advice and assistance."
For allegedly failing to comply with the Fair Work Commission order, Vardan Towing & Transport faces a penalty of up to $99,000, and Mr Dhaliwal faces a penalty of up to $19,800.
The Fair Work Ombudsman is also seeking a court order for the company to pay the outstanding compensation owed to the employee, plus interest.
A directions hearing is listed in the Federal Circuit and Family Court in Melbourne on 13 July 2026.
Employers and employees can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94 for free advice and assistance about their rights and obligations in the workplace.
