Bans part of ongoing effort to protect small businesses, regulator says
The Australian Securities & Investments Commission (ASIC) disqualified seven directors – three from the financial services industry – during the second quarter of 2024, as part of its ongoing efforts to protect small businesses from unfair practices.
ASIC said these actions align with its enforcement priorities, which aim to halt conduct that harms small businesses. ASIC targets misconduct related to company failures and illegal phoenix activity, which can result in significant debts impacting other small businesses.
The national corporate regulator reaffirmed its commitment to engaging with and supporting small business owners.
“ASIC is dedicated to engaging with and providing proactive support for small business owners and will continue to act against individual directors to protect the wider public, employees and other businesses against the future mismanagement of companies,” it stated.
The following financial services directors were banned from managing corporations following their roles in the collapse of multiple small proprietary companies leaving many creditors unpaid.
Peter Gribble, a director in the property development and financial services industries, was disqualified for two and a half years until Nov. 23, 2026. His involvement in four small proprietary companies led to a combined debt of $9.46 million owed to 24 unsecured creditors, many of which were small businesses in the food industry. Gribble had previously been disqualified by ASIC in October 2022 from controlling financial services businesses for three years.
ASIC also disqualified Andrew Liam Parry, a former director in the solar, media, telecommunications, and bitcoin mining sectors, for five years until May 24, 2029. Parry was involved in the failure of four small proprietary companies, which owed a combined total of $11.09 million to creditors.
Additionally, Christian Oey, a former director in the financial and insurance services industry, was disqualified for five years until June 6, 2029. Oey’s involvement in the failure of two companies resulted in a combined debt of $5.85 million owed to creditors.
Section 206F of the Corporations Act 2001 allows ASIC to disqualify a person from managing corporations for up to five years if, within a seven-year period, the person was an officer of two or more companies that were wound up, and a liquidator reports to ASIC about each company's inability to pay its debts.
When determining whether to disqualify a director, ASIC relies on information from registered liquidators’ initial statutory and supplementary reports, as well as convictions resulting from ASIC’s Request Assistance for External Administration (RAEA) program. The RAEA enables registered liquidators to request ASIC’s assistance when directors, officers, and individuals related to a company in external administration fail to comply with their legal obligations to assist liquidators.
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