03 Jun 2015

Leane Electrical Liquidation – A matter for its directors

READ TIME

2 min

Mr Nick Cooper, the Adelaide Partner with national solvency and forensic accountancy firm Worrells, said today the decision by Leane Electrical Pty Ltd to enter liquidation was a matter for its director.

“As the Liquidator of Zteam Constructions Pty Ltd, I am obliged under the Corporations Act to maximise the returns for the Zteam’s creditors,” he said.

“We are of the opinion that sums of money paid by Zteam to Leane Electrical were voidable as preference payments, made at a time when Leane Electrical suspected that Zteam was insolvent.

“That gave Leane Electrical an unfair priority over other creditors of Zteam.

“In accordance with our duties under the Corporations Act, we have sought to have these payments returned so they can be divided amongst all Zteam creditors, including Leane Electrical.”

Mr Cooper said Leane Electrical had the option of challenging the repayment demand in Court, but had instead chosen to withdraw from negotiations and place the company in liquidation.

– ENDS –

Interviews:

Nick Cooper
Partner
Worrells Solvency + Forensic Accountants
08 8214 0501
nick.cooper@worrells.net.au

Business can be tough

Our team is focused and ready to help

Get in touch

Subscribe for all the latest help and news

Subscribe