ASIC bans two WA directors

Perth company directors Desmond Patrick Blechynden and Luke Ronald Blechynden have been banned from managing corporations for three years and one year respectively by the Australian Securities and Investments Commission.

The disqualifications of both men follow an ASIC investigation into their roles in the failed companies, Allcorp Pty Ltd, Blechynden Transport Pty Ltd and W.A. Agri-Exports Pty Ltd and a further company relating to Mr Desmond Blechynden, Fodder Resources Pty Ltd.

ASIC's investigation found that Mr Desmond Blechynden and Mr Luke Blechynden failed to ensure that Allcorp Pty Ltd maintained proper books and records. They also failed to meet with the liquidator and allowed Allcorp to trade while insolvent.

ASIC also found that Mr Desmond Blechynden failed to ensure that Blechynden Transport Pty Ltd maintained proper books and records and assist the liquidator of Fodder Resources Pty Ltd. Mr Blechynden also allowed Blechynden Transport Pty Ltd to trade while insolvent.

The full text of an ASIC announcement is pasted below

The Australian Securities and Investments Commission (ASIC) has disqualified eight directors from managing corporations following their involvement in failed companies.

Mr Luke Ronald Blechynden and Mr Desmond Patrick Blechynden

ASIC has disqualified father and son farming service operators, Mr Desmond Patrick Blechynden and Mr Luke Ronald Blechynden, of Ocean Reef, Western Australia, from managing corporations for three years and one year respectively.

The disqualifications of both men follow an ASIC investigation into their roles in the failed companies, Allcorp Pty Ltd, Blechynden Transport Pty Ltd and W.A. Agri-Exports Pty Ltd and a further company relating to Mr Desmond Blechynden, Fodder Resources Pty Ltd.

ASIC's investigation found that Mr Desmond Blechynden and Mr Luke Blechynden failed to ensure that Allcorp Pty Ltd maintained proper books and records. They also failed to meet with the liquidator and allowed Allcorp to trade while insolvent.

ASIC also found that Mr Desmond Blechynden failed to ensure that Blechynden Transport Pty Ltd maintained proper books and records and assist the liquidator of Fodder Resources Pty Ltd. Mr Blechynden also allowed Blechynden Transport Pty Ltd to trade while insolvent.

Mr Kenneth Duncan Hale

ASIC has disqualified events manager, Mr Kenneth Duncan Hale, of Upper Beaconsfield, Victoria, from managing corporations for the maximum period of five years.

The disqualification of Mr Hale follows an ASIC investigation into his role in failed companies, Pride Events (Vic) Pty Ltd and ACN 057 885 677 Pty Ltd.

ASIC's investigation found that Mr Hale improperly used his position as a director by facilitating the transfer of the business of Pride Events (Vic) to a related company on uncommercial terms and in a manner that advantaged some creditors of Pride Events (Vic) while disadvantaging others. Further, Mr Hale facilitated the overpayment of rent by Pride Events (Vic) to the Hale Family Trust and failed to keep adequate financial records for both companies.

Mr Brian James Hooker

ASIC has disqualified tea tree plantation promoter, Mr Brian James Hooker, of Park Ridge, Queensland, for the maximum period of five years.

Mr Hooker's disqualification follows an ASIC investigation into his role in four failed companies, Oils of Nature Management Pty Ltd, Base Metals Exploration N.L., Northern Rivers Land Company Limited and Northern Rivers Plantation Management Pty Ltd.

ASIC's investigation found that each of the companies failed owing substantial amounts to the Australian Taxation Office (ATO). Further, Oils of Nature Management was part of a scheme, the dominant purpose of which was to obtain a tax benefit in contravention of the Income Tax Assessment Act.

ASIC also found that Mr Hooker caused or permitted the transfer of the business of Oils of Nature Management to another entity for minimal consideration and for the purpose of defeating the company's major creditor, the ATO. Mr Hooker also failed to keep proper financial records for the company.

Mr Marc Paul Lakos

ASIC has disqualified anti-ageing clinic proprietor, Mr Marc Paul Lakos, of Lugarno, New South Wales, from managing corporations for two years.

The disqualification of Mr Lakos follows an ASIC investigation into his role in the failed companies, Kore Business Systems Pty Ltd and Eternal Anti-Ageing Clinics Pty Ltd.

ASIC's investigation found that each of the companies failed owing substantial amounts to the ATO. Financial records for both companies were also incomplete. Mr Lakos also failed to supply the liquidators of the companies with documentation as required under the Corporations Act.

Mr Ian Townson and Mr Michael Ronald Morris

ASIC has disqualified electrical and shopfitting supply operators , Mr Ian Townson, of Scarborough, Queensland, and Mr Michael Ronald Morris, of Kippa-Ring, Queensland, from managing corporations each for a period of four years.

Mr Townson and Mr Morris' disqualification follows an ASIC investigation into their roles in relation to four failed companies, Mortown Electrical Pty Ltd, RWY Pty Ltd, Sincal Pty Ltd and TLI Pty Ltd.

ASIC's investigation found that Mr Townson and Mr Morris failed to ensure that RWY Pty Ltd and TLI Pty Ltd maintained proper books and records and allowed TLI Pty Ltd to incur debts while insolvent.

The investigation also found that Mr Townson and Mr Morris sold the company's business assets to a related entity for the purpose of defeating TLI Pty Ltd's major creditor and allowed TLI Pty Ltd to make an uncommercial payment to a company of which they were directors.

Mr Barry Walter Desmond aka Barrie Walter Desmond

ASIC has disqualified confectionary producer, Mr Barry Walter Desmond, aka Barrie Walter Desmond, of Pittsworth, Queensland, from managing corporations for one year.

Mr Desmond's disqualification follows an ASIC investigation into his role in two failed companies, Central West Confectionery Pty Ltd and Pittsworth Enterprises Pty Ltd.

ASIC's investigation found that both companies failed owing debts to the ATO and that Mr Desmond failed to ensure that Central West Confectionery Pty Ltd maintained proper books and records. Mr Desmond also failed to provide information and assistance to the company's liquidator.

ASIC found that Mr Desmond failed to understand his obligations with respect to keeping the financial affairs of the companies and his personal financial affairs separate.

The above disqualified individuals have the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.