The Australian Taxation Office (ATO) has successfully applied to the Federal Court for the appointment of a provisional liquidator for eight labour hire businesses providing services to the meat processing and abattoir industry.
Deputy Commissioner Will Day said the appointment of a provisional liquidator ensures the business operations are managed transparently by a qualified professional accountable to the Court, while broader enforcement action is underway.
"The appointment of a provisional liquidator provides greater certainty to key stakeholders, including staff, suppliers and customers, that the risk of disruption to business operations will be minimised," he said.
The appointment of a provisional liquidator allows for the immediate preservation of assets and records and ensures that these companies are now controlled by an independent party.
Provisional liquidators have been appointed for Ausmart Services Pty Ltd, Ezyrol Trading Pty Ltd, Gamma One Pty Ltd, Goyx Pty Ltd, Mondex Group Pty Ltd, Newing Glacier Pty Ltd, Rocube Holding Pty Ltd, and Spark Labour Solutions Pty Ltd.
Separate to the appointment of the provisional liquidator, the ATO was supported by the Australian Federal Police (AFP) and AUSTRAC in the execution of warrants in Sydney yesterday. This was undertaken to obtain information relevant to a range of tax mischief in excess of $100 million. The ATO will also refer matters to other Commonwealth agencies as appropriate.
Mr Day said the ATO takes its responsibility to protect the tax and super systems seriously.
"The ATO had been carefully planning yesterday's concurrent activity for some time.
"It should serve as a timely reminder that we will take determined action where we suspect complex and sophisticated schemes designed to rip-off employees and evade tax in Australia.
"We will not be making further comment at this time as these investigations are ongoing."
The ATO is working with the provisional liquidator – FTI Consulting – to put a range of help and support measures in place.
"We encourage any worker, employer or business affected by today's action to contact FTI Consulting for advice or assistance in their individual circumstances," Mr Day added.
More information
If a member of the community has any knowledge or concerns about someone doing the wrong thing they can report it online at ato.gov.au/reportaconcern or by calling 1800 060 062.
The ATO's overarching guidelines when dealing with insolvency matters is covered in Practice Statement Law Administration (PS LA) 2011/16 - Insolvency – collection, money and enforcement issues for entities under external administration.
A list of Federal Court orders for provisional liquidation are available on the Commonwealth Courts portalExternal Link.
Affected employees and businesses should contact FTI Consulting at [email protected] or by calling
