As creditors await the administrator Cor Cordis' report on the administration of Skope Group Pty Ltd and affiliated companies; news has arrived that Skope Group Holdings Pty Ltd, ACN: 635823326, is now also under administration, from 12th March.
 |
| The future of Skope is now in the hands of Cor Cordis |
The appointment of administrators/liquidators to Skope Group Holdings Pty Ltd would appear to prevent any attempt at re-phoenixing the manufacturing arm of Skope, re-named Skope Group Wholesale Manufacturing on 23rd February as a business name.
 |
| Alan Walker, CorCordis |
Skope companies administrators Alan Walker and Andre Lakomy have been contacted for comment and must be very busy trying to deal with the assets of companies already in administration and under a DOCA administered by Simon Thorn of PKF.
One spokesperson described it as 'a very unusual situation.' It appears that directors of companies associated within the Skope network may have used multiple ACNs and ABNs to disguise their controling interests, move assets in and out of these companies and incur large debts that have yet to be paid off - including to the ATO and many sign industry suppliers and contractors. It is now the job of the insolvency administrators to unravel this network and determine if there are any recoverable assets that can be distributed to secured and unsecured creditors, employees and superannuation funds.
That the directors have been involved in three administrations inside a year must be of concern to ASIC and others. This publication has received an extraordinary number of approaches by creditors, contractors and other aggreived parties about the way Skope entities conduct business.
 |
| Andre Lakomy,CorCordis |
The insolvency industry - yes it is an industry, mostly practiced by chartered accountants - often has a tough job to do and this may initially focus on turn-arounds and restructuring. After all, individual partners of insolvency firms take on personal liability for debts incurred following their appointment as administrators. They need to explore every avenue to recoup and realise assets on behalf of secured creditors.
If a business can be turned around under administration and restructuring, this can often protect jobs and provide some kind of return to creditors. It's a tough time for businesses right now, particularly SMEs. Anyone can get into trouble, even seemingly good performers but there is also the continued risk of operators using the insolvency system to clear debt, hide assets and continue under different ABNs.
We will publish extracts of Cor Cordis' report to creditors and any other comments as they come to hand, and also any comments you may have if you or your company is affected by this present situation. You can email comments to: andy@wideformatonline.com
