An Australian court put 12 Edwards-linked companies under provisional liquidation Friday. The Australian Securities and Investments Commission (ASIC) sought the order after records showed they raised A$182 million (about $130.5 million) from investors.
The judgment put outside administrators in control of the 12 companies, which the court said largely paid investors with money from new investors or borrowings on unknown terms. FTI Consulting must now map their assets, solvency and potential creditor returns.
The order is provisional, not a final winding-up decision. ASIC’s application to wind up the companies remains before the New South Wales Supreme Court.
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