Insolvency Guardian Media Centre
29 Jul 2020
The new Corporate Insolvency and Governance Bill introduces an unprecedented level of protection to insolvent companies in supply chains. Suppliers will now be obliged to continue providing goods and services despite the fact the recipient is in an insolvency process.
The standard practice in most supply contracts is that a clause will have been agreed allowing the contract to be terminated with immediate effect upon a companys insolvency. This is naturally a desired protection for other parties in the chain, who do not wish to be left holding the baby having expended money or labour with no return. In a momentous move, the Bill invalidates these clauses even in existing contracts. Suppliers will instead be obliged to co…
Read the full article at: https://www.trethowans.com/news/corporate-insolvency-and-governance-bill-impact-of-covid-19-on-supply-chains-part-3-of-3
29 Jul 2020
The Corporate Insolvency and Governance Bill offers directors of struggling companies with some welcomed respite in regards to some of their decisions and action during the COVID-19 period. There is relief available with regards to personal liability for wrongful trading, voluntary moratoriums and restructuring options.
Wrongful trading
The impact of the COVID-19 escalated quickly in March 2020, and directors at that time were met with making difficult and unprecedented decisions in order to keep companies afloat.
Many businesses were admirably quick to adapt, and continued to trade in the best way they could despite the challenges, in an industrious and entrepreneurial spirit. The Bill provides directors with some comfo…
Read the full article at: https://www.trethowans.com/news/corporate-insolvency-and-governance-bill-company-law-in-the-time-of-covid-19-part-2-of-3
Najib, who led Malaysia from 2009 to 2018, co-founded 1MDB to attract foreign capital and help advance the Malaysian economy. Instead, up to $US4.5 billion was siphoned off. In 2018, the fund was declared insolvent and unable to pay its debts. That same year, Najib was bounced out of office in a historic election defeat.
After the verdict in the SRC International trial was read out on Tuesday, Najib’s lawyer Shafee Abdullah continued to argue his client’s innocence. “He says that if he was at fault, he was only at fault in trusting people that ought to run the company both 1MDB and SRC,” he said.
Leonardo Dicaprio and Jho Low at the 2013 premier of The Wolf of Wall Street.
“In certain instances, one can say he over-trusted. That…
Read the full article at: https://www.afr.com/world/asia/judge-s-hard-line-on-najib-s-corruption-will-weigh-on-appeal-20200729-p55gjl
A financial planner conned a couple out of $360,000, sinking to staggering depths of deceit so he could pay off his credit cards and feed an online gambling addiction, a court has heard.
Daniel Peter Logan, 40, was in extreme financial stress when he took the Brisbane couple on as clients while working as a planner at financial services group Anne Street Partners in 2013.
A court heard that over five years, Logan stole money from their self-managed super account, enticed the couple into buying properties which he mismanaged and then falsified documents to pretend their investments were increasing in value.
Former nurse confronts despicable dentist who raped her
Tattooists den of hidden cameras, rape recordings found by landlord
The mon…
Read the full article at: https://www.frasercoastchronicle.com.au/news/financial-planners-staggering-360k-fraud-revealed/4067410/
Cash-flow issues not JobKeeperare whats keeping Aussie business owners awake at night, new research from business recovery and insolvency firm Jirsch Sutherland has revealed.
The research, based on an independent survey of over 1,000 business owners, found that todays cash-flow troubles could translate into a number of insolvencies over the next six months as the end-September stimulus deadline looms.
If youre a business owner or director whos experiencing financial stress, its more important than ever to assess your current and future cash-flow situation and revenue streams, particularly taking into consideration when the governments life raft will no longer be there, saidBradd Morelli, Jirsch Sutherlands national managing partner.
An…
Read the full article at: https://www.mybusiness.com.au/finance/7227-cash-flow-issues-not-jobkeeper-top-of-mind-for-business-owners
New Zealands largest retail chain axes 1,080 jobs
By John Braddock
29 July 2020
The carnage being inflicted on workers jobs continued when New Zealands largest retail chain, The Warehouse, announced on July 19 up to 1,080 sackings. It followed the recent decision by the global conglomerate Rio Tinto to mothball Southlands Tiwai Point aluminium smelter next August, at a cost of 2,600 jobs within the region.
In the wake of COVID-19, the number of jobs fell by a record 37,000 or 1.7 percent in April alone, according to Statistics NZ in June. It was the biggest monthly fall in percentage terms in 20 years since the measurement was established. There are now 208,577 people on either Jobseeker Support or a COVID-19 payment. More than 63,000 …
Read the full article at: https://www.wsws.org/en/articles/2020/07/29/nzjo-j29.html
GYMPIE has lost one of its last friendly grocers, with the popualar Heilbronns Friendly Grocer on Duke St shutting its doors and moving into liquidation.
The stores parent company, Abid Australia, made the decision to close the CBD-based Friendly Grocer Gympie shop at a general business meeting yesterday.
Worrells Maroochydores Paul Noguieia has been appointed as liquidator.
Worrells has been contacted for comment.
Customers were greeted by locked doors and this note.
Heilbronns first opened in 1915.
The original owner took over what was a run-down and abandond butcher shop after he struck gold.
MORE GYMPIE NEWS
He was killed out the front of the store when a horse kicked him in the chest.
His widow took over the business and ran…
Read the full article at: https://www.gympietimes.com.au/news/gympie-corner-store-goes-into-liquidation-after-11/4067314/
The customers of Agetur, the first Romanian tour operator to go insolvent because of the coronavirus pandemic, will receive only half of the EUR 440,000 paid in advance for holidays this summer.
The clients will be compensated through the insolvency risk insurance policy, which will partially cover the amounts paid.
Agetur is one of the oldest companies in the country, founded in 1990. It had a business of RON 12 million (EUR 2.6 mln) in 2019.
The insolvency, approved by the court, was initiated at Agetur’s request.
CAPI ignu Anton & ignu Radu was appointed as provisional judicial administrator. Contacted by Profit.ro, Anton ignu declared that Agetur is a victim of the collapse in tourism generated by the coronavirus pandemic.
“Flights…
Read the full article at: https://www.romania-insider.com/Agetur-bankrupt-coronavirus-jul-2020
LV= General Insurance has revealed that around 600 jobs of the 4,300 roles in the company will be impacted by the restructuring plans to reshape its business over the next two and half years.
The changes are aimed at providing the company with more operational efficiency and to position it for the future.
The UK-based insurer said that redundancies will be phased in line with the planned changes and will be minimised where possible by finding suitable redeployment opportunities.
Additionally, as part of the changes to the existing Claims function in LV= GI, the office space in Ipswich where employees from Claims work, will be reduced.
These changes are being proposed to ensure there is a greater focus on customer service and technical…
Read the full article at: https://www.verdict.co.uk/life-insurance-international/news/lv-anticipates-600-redundancies-as-part-of-business-restructuring-plans/
The Bank of Thailand is considering adding a haircut method to the third phase of debt relief measures to help borrowers reeling from lower income caused by the virus crisis.
The regulator has discussed an additional debt relief instrument with financial institutions to respond to the actual requirements of borrowers on a case-by-case basis for the third phase of debt relief.
Cutting the principal on loans could be a solution to increase the debt-servicing ability of borrowers, attracting them to join the debt relief programme.
An additional instrument will better help customers who have been affected by the outbreak, said Ronadol Numnonda, deputy governor overseeing financial institution stability.
The central bank is also considering …
Read the full article at: https://www.bangkokpost.com/business/1959171/bot-looks-to-lighten-burden-for-distressed-borrowers
The Gym Hub, in Worthing’s Guildbourne Centre, has been sold as a ‘going concern’ following the collapse of Adur Community Leisure Ltd (ACL).
Both The Gym Hub and ACL, which included Lancing Manor Leisure Centre, Wadurs Community Pool in Shoreham and Southwick Leisure Centre, are owned by Impulse Leisure.
In an email to customers, the trustees of ACL – a registered charity – thanked customers for their support over the last 15 years and said it was with ‘great sadness’ they must announce the liquidation.
Adam Henry Stephens and Colin Hardman, who are licensed insolvency practitioners bound by the Insolvency Code of Ethics, have been proposed as joint liquidators of the company, the trustees sai…
Read the full article at: https://www.worthingherald.co.uk/business/worthing-gym-sold-after-company-goes-liquidation-2926438
Image copyright Getty ImagesA wave of “zombie companies” kept afloat during lockdown are on a cliff-edge going into the autumn, experts say.
Analysis by the BBC shows a surge of firms went bust in March, then the rate slowed in the first few months of lockdown amid a 160bn support package.
However, the Institute for Fiscal Studies (IFS) says many firms have piled on debts and will struggle.
The government said it would “adjust support” as the economy reopens.
So-called zombie companies are businesses that function day-to-day, but cannot pay off the full debt they owe or find cash to invest and grow.
Julie Palmer, a partner at the financial consultants Begbie…
Read the full article at: https://www.bbc.com/news/uk-53417948