B3 ‘traded insolvent’
THE administrator’s final report on Bistro 3 has found indications of insolvent trading since the company stopped paying superannuation from 2009.
The report released last week to creditors has recommended the company be liquidated and administrator David Ross from Hall Chadwick said he had been appointed one of the liquidators.
“The liquidator releases any assets of the company and investigates into affairs of the company, if any offence has been identified it will be reported to Australian Securities and Investments Commission,” he said.
“It effectively spells the end of the company, at the end of that there will be a final meeting and the company will be deregistered, it’s a process that we need to go through that happens over months.”
Mr Ross is predicting the whole process will take six months to complete and said they will look further into Bistro 3 not paying superannuation but will take into account the fact “directors have certain defences available to them”.
“Superannuation is a priority claim against the company and at this stage we will facilitate payment of employment entitlements through (GEER) schemes but unfortunately it doesn’t pay superannuation,” he said.
The news is also bleak for any suppliers or businesses owed money.
Mr Ross said “there won’t be a return to unsecured creditors”.