Guy Powis of West Perth, WA, has been disqualified from managing companies for five years for his involvement in failed companies.
Between 2013 and 2018, Mr Powis was a director of four construction and labour hire companies that failed:
- Australian Recruiting Labour Force Pty Ltd (ACN 600 568 590) (ARLF);
- ACN 613 069 392 382 Pty Ltd (ACN 613 069 382 – previously Podium Technology Services Pty Ltd (PTS);
- ARLF Labour Pty Ltd (ACN 603 049 770) (ALBR); and
- Blue Pacific Realty Pty Ltd (ACN 24 612 755) (BPR).
In addition to ARLF, PTS, ALBR and BPR, Mr Powis was involved in a further seven failed companies operating in Perth, Brisbane and Sydney between 2009 and 2014.
In making its decision, ASIC found that Mr Powis:
- failed to exercise his duties as a director with due care and diligence in respect of ARLF and PTS;
- failed to ensure that ARLF maintained adequate books and records;
- failed to ensure that PTS sufficiently charges fees for its services to meet its tax obligations;
- failed to prevent PTS from incurring debts totalling just over $500,000 when it was, and ought to have been known to be insolvent; and
- was also a director of eight other companies that were wound up and had a report lodged under s533(1) between 2010 and 2013. Of these eight companies, Mr Powis had been a director of four for less than one month, and three for less than 12 months.
At the time of ASIC’s decision, the 11 companies owed creditors more than $4.6 million.
In making its decision to disqualify Mr Powis, ASIC’s investigation relied on supplementary reports lodged by the liquidator of ARLF, Domenic Calabretta of Mackay Goodwin and the liquidator of PTS, Gavin Morton of Morton and Lee Insolvency. ASIC assisted the liquidator of ARFL to prepare a supplementary report by providing funding from the Assetless Administration Fund.
Mr Powis is disqualified from managing corporations until 10 December 2025.
Section 206F of the Corporations Act gives ASIC the power to disqualify a person from managing corporations for up to five years if, within a seven-year period, the person was an officer of two or more companies that were wound up and the liquidators lodge reports with ASIC about each company’s inability to pay its debts or alleges misconduct.
ASIC also 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 (SMSFs); or
- practising in the financial services or credit industry.
This news item was originally published by the Australian Securities and Investments Commission (ASIC AU). For more information, please see the Source Link.