Tasmania’s auditor-general says that Spirit of Tasmania operator TT-Line was insolvent in August, but the state-owned company has disputed that claim.
Auditor-General Michael Thompson released a report on Monday into the financial statements of state entities, pointing out the financial challenges facing TT-Line, along with the Motor Accidents Insurance Board (MAIB).
His assessment of TT-Line came after its borrowing limit was increased from $990 million to $1.4 billion, but before the government provided a $75 million equity injection.
Spirit of Tasmania IV, pictured, has arrived in Tasmania and is due to enter operations in October 2026. (ABC News: Monty Jacka)
The report stated that TT-Line could meet its short-term debts, but not for…