ASIC asks court to ban Wily and Hurst

asic launches legal action against liquidatorsASIC has set its sights on Andrew Wily and David Hurst.
Liquidator Andrew Wily

ASIC is going after liquidator Andrew Wily in relation to Crystal Car Wash Cafe.

The corporate regulator has ensured 2017 starts with a bang by asking the NSW Supreme Court to inquire into the conduct of Armstrong Wily principal Andrew Wily and former partner Dave Hurst in relation to their conduct of liquidations associated with Crystal Car Wash Cafe.

Neither defendant was free to comment when contacted by SiN. The full text of the ASIC release follows.

ASIC has lodged an application requesting the Supreme Court of NSW inquire into the conduct of Sydney liquidators Andrew Hugh Jenner Wily and David Anthony Hurst concerning the performance of their duties as joint liquidators of 12 companies to which they had been appointed.

ASIC’s concerns include:

  • a lack of independence and a failure to disclose potential conflicts;
  • the failure to report to ASIC suspected shadow directors and offences underlying suspected illegal phoenix activity; and
  • a failure to undertake basic investigations into the companies’ affairs.

At the time of their appointment, Mr Wily and Mr Hurst were partners of Armstrong Wily. Mr Wily remains a partner of Armstrong Wily. Mr Hurst is now a director of the firm HoskingHurst Pty Ltd.

ASIC seeks orders that Mr Wily and Mr Hurst be prohibited from practising as registered liquidators for such period as the Court sees fit.

The matter has been listed for directions on 9 February 2017.

Background

Under the Corporations Act 2001, ASIC may apply to the Court to undertake an inquiry where it appears that a liquidator has not faithfully performed his or her duties.

ASIC seeks orders from the Court concerning Mr Wily’s and Mr Hurst’s role as joint liquidators of the following companies wound up by way of creditors’ voluntary liquidation:

  • Stone Cliff Pty Ltd ACN 098 024 714 (Deregistered)
  • Sjain Pty Ltd ACN 127 505 720 (Deregistered)
  • Htbong Pty Ltd ACN 127 505 873 (Deregistered)
  • Mboa Pty Ltd ACN 128 067 489 (Deregistered)
  • Vbrkic Pty Ltd ACN 127 507 564 (Deregistered)
  • Kgifford Pty Ltd ACN 127 506 129 (Deregistered)
  • Msrour Pty Ltd ACN 127 505 579 (Deregistered)
  • Schauhan Pty Ltd ACN 127 508 034 (Deregistered)
  • Rgoel Pty Ltd ACN 127 508 221 (Deregistered)
  • Mhaigh Pty Ltd ACN 127 508 365 (Deregistered)
  • Pkhouri Pty Ltd ACN 127 505 908 (Deregistered)
  • Psingh Pty Ltd ACN 127 507 813 (Deregistered)

Prior to their liquidation, the companies provided either administrative, carwash and/or café staff exclusively to Crystal Carwash Café Pty Limited (Crystal Carwash).  Mr Wily had previously conducted the liquidation of 7 other companies that had also provided carwash and/or café staff exclusively to Crystal Carwash.

Crystal Carwash operates a number of carwash sites at various locations across the Sydney metropolitan area.

About the Author

Peter Gosnell

Sydney Insolvency News illuminates the practice of insolvency in Australia’s largest city, highlighting the triumphs and failures of Sydney’s registered practitioners and the accounting and legal professionals who work with them. SiN is produced by Peter Gosnell, former business editor and senior business reporter at The Daily Telegraph newspaper. During a decade-long career, your correspondent reported on such notable corporate collapses as HIH, One.Tel, Westpoint and Fincorp as well as some of the nation’s highest profile bankruptcies and the investigations and prosecutions arising from Australia’s most notorious instances of white collar crime.

Be the first to comment on "ASIC asks court to ban Wily and Hurst"

Leave a comment

Your email address will not be published.


*