Administration

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After another spray from the Federal Court, the Mossgreen administrators have thrown in the towel, telling the no-pushover owners of $5 million worth of art and antiques that their insurance coverage had lapsed.
The letter sent by the BDO administrators on Anzac Eve stunned clients, already angered at the way the administration had been undertaken ever since their appointment just prior to Christmas. 
BDO have advised the auction house clients to help themselves to their stored contents, though not to come through the besieged accountancy firm which had expended a $1 million stocktake that the Federal Court described as "intermeddling".
BDO sent an update today to consignors of Mossgreen. The second creditors' meeting has been decided as May 4. Secured creditors have been advised their payment is likely to be 2 cents in the dollar.
"The voluntary administrators are without funds to meet the ongoing expenses of preserving and facilitating the return of goods," James White, the admonished BDO administrator advised all Mossgreen clients by email on Thursday.
"Consequently, the voluntary administrators are no longer in a position to retain the company’s remaining two leasehold premises and have no alternative but to arrange for possession of those premises to be returned to their respective landlords, as of close of business, Monday, 23 April 2018.
Click here <a href="https://www.propertyobserver.com.au/images/2018/4/24/MOSS_LETTER.jpg" target="_blank">to enlarge.</a>
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"It will now be up to the landlords of those premises to co-ordinate the return of your consigned goods.
"Please contact the relevant landlord," the long suffering Mossgreen clients were told.
At the time of issuing the correspondence, the landlord for the Clayton warehouse indicated that he will seek to contact consignors directly in relation to the return of their consigned items.
BDO offered no indication of the return process of the former High Street headquarters.
"We remain in discussions with the landlords regarding how we might be able to assist them with the goods collection process, and to make available the work we have done to date to bring order to that process."
"However, you will appreciate that as we are without funds, we can no longer maintain insurance in respect of the consigned goods.
"We strongly recommend that you immediately ensure that you have your own insurance in place," White said.
One client indicated the "BDO's bloody-mindedness will tip the scales to ensuring state government's move to ensure in future that auction houses are covered by trust fund style regulations."
Mossgreen clients hope both landlords are disposed to readily assist in the return of the goods and chatels. Property Observer anticipated the landlords would become key stakeholders <a href="https://www.urban.com.au/news/82714-stored-mossgreen-art-and-antique-rental-liability-issue-flares" target="_blank">in our reportage last week</a>.
BDO never provided "any satisfactory explanation" as to why they did not adopt a "common-sense approach" on an earlier quick return of the $5 million in art and antiques caught in the Mossgreen administration, the Federal Court of Appeal noted earlier this week.
The now published judgement that admonished BDO came after BDO was thrawted in its attempt to impose a hefty fee on all clients of the collapsed auction house, as they sought to recoup the $1 million in expenses undertaken without reference to the courts.
The fee often was more than the content's value.
The initial judgement by Federal Court judge Nye Perram ruled the BDO administrators were <a href="https://www.urban.com.au/news/82407-bdo-told-to-stop-intermeddling-in-mossgreen-client-goods" target="_blank">"in</a><a href="https://www.urban.com.au/news/82407-bdo-told-to-stop-intermeddling-in-mossgreen-client-goods" target="_blank">termeddling" in other people's goods in circumstances</a> "where they had not been invited to do so, were not performing their statuatory functions and had not been appointed receivers."
While not agreeing to the entirety of Justice Perram's ruling, the judgement, signed off by the Honourable Chief Justice Allsop and Justices Banks-Smith and Colvin, reiterated the error in BDO's administration.
The judges noted given that the BDO administrators only sought directions after the event, in effect to approve the course that they had already undertaken.
It was initially estimated that Mossgreen held in excess of 10,000 items on consignment, held across three premises in Victoria, their High Street, Armidale premises, a site in NSW on Queen Street, Woollahra and a third party warehouse in Clayton, Victoria.
The goods were classified into the following categories:
1.    Items sold at auction prior to our appointment and not yet collected by purchasers;
2.    Unsold items of recent auctions held on consignment on behalf of vendors;
3.    Items held on consignment for future auctions;
4.    Items abandoned by purchasers and vendors;
5.    Items stored at the Company’s warehouse awaiting collection by vendors; and
6.    Artwork consigned to the Company to hang in the gallery.
The stocktake identified that Mossgreen retained 6,935 lots (or 4,663 lots excluding stamps and coins) on behalf of in excess of 800 consignors (or in excess 600 consignors excluding stamps and coins).
After including abandoned items, and allowing for the prospect that owners of such items were unlikely to make claims, the judges noted it could be seen that the extent of claims by individual owners to the return of individual items was not as overwhelming a task as BDO advised.
The total cost of the stocktaking exercise was $1,048,072. It comprised the following: wages of $240,747 as of the company’s 36 employees, after 19 were terminated in January 2018, the remainder were kept on.
An amount of $180,075 had been included for rent. An amount of $54,000 was included for insurance and $45,849 was included for security.
There was $122,605 allocated for the costs of engaging the Tiger stocktake company to undertake a complete stocktake of all consigned goods. 
Some $72,500 had been included for legal costs for obtaining advice as to consignor Tasks and seeking directions from the court.
Fes for the administrators were put at $126,551 and disbursements of $11,033 to 31 January 2018.
Actual administrator’s costs from 1 February 2018 to 16 March 2018 have been $200,715.
All of the above were based on estimates to 31 March 2018. 
The names of the art and antique creditors are a who's who from across Australia, ranging from passionate collectors, socialites, low key business tycoons to deceased estates.
<a href="https://www.urban.com.au/news/79466-caterer-peter-rowland-ranks-among-the-mossgreen-auction-house-administration-creditors" target="_blank">Caught amid the clients</a>, were Sydney's society Coppleson family listed as owed $465,000, the third highest-owed creditor.
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BDO says Mossgreen contents are now uninsured after copping a Federal Court shellacking 

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The franchises fee paid to Topshop UK by the local retail outlet, set up by a license agreement, may have triggered the downfall of the UK brand in Australia.
In the latest Money News segment on radio station 2GB, money commentator Ross Greenwood said the local licensee, Hilton Rescan, pays a fee to Topshop UK and buys goods from it which adds cost to consumers and the local operator.
"By contrast, Uniqlo and H&amp;M are owned by their global parents – there is no middleman  – costs are lower, and if they choose cheaper prices can be passed on," he said.
"But many Australian retailers are struggling to survive because they’re not set up that way."
Sean Sands, associate professor of ‎ACRS Research Unit, said the local outlets run their own infrastructure and own cost locally while picking from the Topshop UK product range.
Ferrier Hodgson were appointed voluntary administrators of Topshop/Topman.
The retailer has 760 employees and annual sales of approximately $90 million.
Administrator James Stewart told the Daily Telegraph the company would continue to trade as normal while he works closely with Topshop/Topman’s UK owners Arcadia Group to figure out next steps.
Topshop and Topman are brands of <a href="https://www.urban.com.au/news/70737-topshop-topman-goes-into-voluntary-administration" target="_blank">British retailer Arcadia Group</a>. Topshop/Topman is a separately owned and operated Australian franchise. 
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Topshop franchise fees may have triggered local downfall 

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Ferrier Hodgson have been appointed voluntary administrators of clothing retailer Topshop/Topman following rising debt levels.
The retailer has 760 employees and annual sales of approximately $90 million.
Administrator James Stewart told the Daily Telegraph the company would continue to trade as normal while he works closely with Topshop/Topman’s UK owners Arcadia Group to figure out next steps.
“It will be business as usual as the Administrators work closely with Arcadia Group (the UK owners of the Topshop/Topman brand) on supporting and right-sizing the Australian business to a sustainable platform going forward,” he said.
“Topshop/Topman is one of the world’s best known fast fashion retailers operating 9 stand-alone stores, 17 Myer concessions and an online business in Australia.”
"Employees at Topshop/Topman will continue to be paid by the Administrators and normal customer policies such as gift cards and product returns will be honoured during the Administration period."
Topshop and Topman are brands of British retailer Arcadia Group. Topshop/Topman is a separately owned and operated Australian franchise. 
Topshop launched in Australia in 2011 on Melbourne's Chapel Street.
Upon the launch of their Chatswood outlet, Topshop Australian chairman Hilton Selskin said the area was <a href="https://www.urban.com.au/expert-insights/investing/40527-topshop-promises-retail-excitement-for-chatswood" target="_blank">"in need of some excitement."</a> 
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Topshop/Topman goes into voluntary administration 

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The embattled luxury retailer Oroton has secured a lifeline after one of its major shareholders, Will Vicars offered to take over the company.
Oroton Group's administrator Deloitte has accepted a purchase proposal from the fund manager who owns 18 per cent of Oroton's ASX-listed shares.
The deal marks the end of an era for the Lane family, who founded the business in 1938.
The ASX-listed brand went into voluntary administration in late November. In July the clothing distributor Gazal Corp bought a 7.3 per cent stake for $3.1 million which valued the company as worth $44 million.
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Oroton Group was 21 per cent owned by the founding Lane family and 17 per cent owned by Caledonia Funds Management chief investment officer Will Vicars.
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The deal should see Oroton avoid a break-up of its business and allow its 50 stores across Australia, New Zealand and Malaysia to continue trading.
The administrator has not revealed the value of the deal or how much creditors can expect to receive.
"Despite interest, there was no other offer that would have resulted in a superior outcome for the business or employees," administrator Vaughan Strawbridge from Deloitte told shareholders.
Under the binding and exclusive agreement Mr Vicars signed late on December 23 with Strawbridge, he will propose a deed of company arrangement that will rescue the business.
No details of the size of the rescue package, or the returns to creditors, have yet been provided. 
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Vicars had been a director of Oroton for 16 years until he resigned in May, having previously acted as the company's white knight when in June he put up $3 million in credit support for the company's working capital facility with Westpac.
Its annual revenue was $123 million.
The board held 10 meetings during the past year, plus 33 unscheduled board meetings to seek to set the company afloat.
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Luxury retailer Oroton secures trading lifeline from Will Vicars

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Paul Sumner's Mossgreen art auction house has debts of $12 million, its administrators BDO told the first creditors' meeting.
There were 400 creditors owed money, with 50 turning up to yesterday's meeting.
Toorak businessman Jack Gringlas​ confirmed to Fairfax Media that his family company was the biggest creditor, being owed $6 million. 
It is understood that Mossgreen owes its vendors $5.8 million, with the remainder owed to unsecured trade creditors.
A recent auction vendor is owed $400,000 from sold art and furniture, with another owed $250,000.
Creditors will vote at a second meeting whether to liquidate Mossgreen or be restructured so it can continue.
Property Observer understands the second creditors' meeting will be held around February 7 or 8 where Paul Sumner will have provided the administrator and creditors with his proposed scheme of arrangement offer.
The meeting was advised the company assets were $3 million.
Auctions scheduled for its Armadale premises will reportedly proceed in February, but Sydney's Woollahra will close indefinitely. 
Mossgreen's Auckland office will re-open.
Gringlas, a Mossgreen director for four years until June 2017 when he sold his shares to Paul Sumner and his wife Amanda Swanson, said he was upset and frustrated. 
Asked the about creditors' chances of getting their money back, Mr Gringlas noted Sumner had "written to every vendor and told them they're going to get 100 cents in the dollar ... that he is putting in place arrangements to ensure that they all get paid".
"So he must believe it. I don't know where that money is coming from because there isn't the money in the company, so I can only assume he's planning to bring more money into the company."
Gringlas <a href="https://www.urban.com.au/expert-insights/investing/72946-former-armadale-theatre-building-sold" target="_blank">sold the leased High Street, Melbourne premises</a> mid-last year for around $10 million to John Karkar.
The administration came late last month.
<a href="https://www.urban.com.au/news/79268-mossgreen-under-administration" target="_blank">The move came December 21</a> with the appointment of three administrators from accountants BDO, James White, Nicholas Martin and Andrew Sallway. 
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It followed failed fundraising attempts in early December. 
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<div>One of the recent major contents auction was for the contents in the Macleay Regis penthouse, home of the late esteemed gynaecologist Professor Malcolm Coppleson and his late wife, Patricia, who was Vogue Living’s editor-at-large.</div>
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The 172 lots (pictured onsite) included the sale of a $192,200 Ian Fairweather work which had an $80,000 to $120,000 price guidance. A Tim Maguire fetched $117,800.
Its most recent auction on December 7 was contents of Dr John Sheehy and Jean Sheehy with just 274 of the 438 lots being sold.
Sumner blamed the current circumstance on growing "a little bit fast."
In 2013, Mossgreen acquired coin, stamp and memorabilia experts Charles Leski Auctions and in 2015 acquired New Zealand auction house Webb's.
It was a capital injection from wealthy former engineer Jack Gringlas that effected the merger with stamps and collectibles firm Charles Leski, followed by the Gringlas purchase of Sotheby’s former long-time saleroom in Melbourne’s upmarket Armadale with Mossgreen relocating from Toorak Road, South Yarra.
In September last year Gringlas, a self-described passionate stamp collector, advised the stampboards website that "both Charles Leski and I have sold our shares to Paul Sumner."
"There is nothing unusual about this, just part of my transition to retirement planning, whereby I am reducing the number of active boards that I sit at.  "I am mainly focused on my finance business, working with my son to grow a significant mortgage investment business for commercial loans, together with managing a number of other business investments."
In an Australian Financial Review profile in 2016, Sumner said Mossgreen's turnover grew from about $10 million before the Leski merger to $39.6 million in 2015, with staff numbers jumping from eight to 55. 
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Auction house Mossgreen owes $5.8 million to antique vendors

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The auction house Mossgreen has gone into voluntary external administration. Mossgreen billed itself as one of Australia’s largest auction houses.
The move came December 21 with the appointment of three administrators from accountants BDO, James White, Nicholas Martin and Andrew Sallway. 
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It followed failed fundraising attempts in early December. 
The first meeting of creditors is January 4, 2018. 
It is understood creditors will be told Mossgreen are "restructuring" with no plans to close any outlets or lose staff, and creditors would be paid.
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Westpac is listed as having a registered security interest over the company. 
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On the eve of the decision, Jack Gringlas of Jadig Investments Pty Ltd is understood to have been advised December 20 given his status as a secured creditor of the company which has showrooms in Melbourne's Armadale, Queen Street, Woollahra in Sydney and Parnell in Auckland.
The Australian Financial Review's Peter Fish reported in August that Mossgreen had parted company with its chairman and major financial backer, Jack Gringlas. 
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<div>One of the recent major contents auction was for the contents in the Macleay Regis penthouse, home of the late esteemed gynaecologist Professor Malcolm Coppleson and his late wife, Patricia, who was Vogue Living’s editor-at-large.</div>
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The 172 lots (pictured onsite) included the sale of a $192,200 Ian Fairweather work which had an $80,000 to $120,000 price guidance. A Tim Maguire fetched $117,800.
Mossgreen was known for its single-owner sales, especially since the estate of the late art patron Ann Lewis in 2011, and then an array of objects from much-loved artist Margaret Olley’s Paddington, Sydney home. Its first auction in its Armidale premises in 2013 was the collection of John and Marita McIntosh. McIntosh is a Melbourne establishment stockbroking doyen.
In 2014 there were the contents of Musk Farm, the Stuart Rattle country Victoria estate. Its most recent auction on December 7 was contents of Dr John Sheehy and Jean Sheehy with just 274 of the 438 lots being sold.
It was in late September 2017, that BDO was approached by the company’s accountant, Laura Raymer of CFO Strategic, to provide assistance to the Mossgreen in assessing its financial position.
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BDO was formally engaged on 26 October 2017 to undertake an independent business review.
A final report was issued to Mossgreen on 8 November 2017 after documentation was provided relating to its financial position and operations.
A December 12 meeting between Mossgreen and BDO got an "update on the company’s financial position including attempted fundraising attempts." It was also attended by David Hall of Allunga Advisory. 
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Paul Sumner has over thirty years experience working in the art and antiques industry with international and Australian auction houses.
Sumner, the son of art and antique dealers, took his first auction at age 17.
He emigrated to Australia in 1987 to commence work with Sydney Auction house Rushton Fine Art and joined Christies Australia in 1990, becoming their Sydney manager in 1992. He was then headhunted by Sotheby’s Australia, and at age 32 became their youngest ever managing director.
Paul held this position until 2001 when he was appointed the Managing Director of Sotheby’s London Auction house at Olympia, London.
He returned to Australia after this contract period to set up a new company Mossgreen with Amanda Swanson.
After nine-years of growth Mossgreen merged with Leski Auctions in 2012. Mossgreen and Leski had a combined turnover in its first financial year of $22 million.
The Mossgreen Melbourne rental premises were sold by Jagid Commercial Pty Ltd mid-year when buyers were advised the annual income was $481,960 per annum with favourable 3.5% rental increases every year, plus the benefit of a mid-term market review in 2020.
The former Armadale Theatre building in High Street, Armadale sold for around $10 million to an investor, John Karkar after a marketing campaign that saw 10 plus offers.
<a href="https://www.urban.com.au/expert-insights/investing/72946-former-armadale-theatre-building-sold" target="_blank">The property, 926-930 High Street,</a>adjoins Armadale train station. It had Mossgreen Tearooms-Melbourne, in partnership with Peter Rowland Catering, which offered one of the finest high tea experiences in Victoria.
The premises had last traded in 2012 for $5.06 million. Previously, the building was occupied by <a href="https://www.urban.com.au/expert-insights/investing/17700-the-sothebys-building-at-926-930-high-street-armadale-which-also-includes-zetta-florence-is-on-the-market-fitzroys-through-agent-chris-kombi-will-auction-the-property-on-august-16-at-1pm-on-site-sothebys-has-tenanted-the-property-for-more-than-2" target="_blank">art dealer Sotheby’s</a>. 
CBRE’s Retail Strip Investments team comprising Josh Rutman, Rorey James and Lewis Tong negotiated the sale. 
Rutman said the international marketing campaign appealed to a mix of local and offshore investors.
Rutman noted that "the international marketing campaign appealed to a mix of local and offshore investors who were attracted to the long-term lease, location and confidence in the Mossgreen business." 
“Long-term, secure leases are hard to find in the current market, with many economists taking a ‘lower for longer’ view on investment returns. The fixed annual rental increases will prove highly attractive to prospective investors looking to house their funds in bricks and mortar assets,” Mr Rutman said.
James said the significant capital appreciation - almost $5 million in less than 5 years - in such a short period of time highlighted the lack of blue chip investment properties available in the Melbourne market.
Since the administration was formalised, Paul Sumner advised clients by email that "Mossgreen has chosen to take a path of voluntary administration during the month of January at a time that will least impact our clients and which will allow the company to re-structure its business. "The company is looking forward to a very strong calendar of auction-sales that are contracted and already catalogued for the first half of 2018, starting in February. "No vendors will lose any money in this process and neither will any of our staff, who will also be fully supported through this process."
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Auction house Mossgreen under voluntary external administration

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The anticipated rescue of auction house Mossgreen is not happening.
Its 330 plus creditors were advised Mossgreen founder Paul Sumner had indicated his proposed deed of arrangement was not proceeding.
Instead Sumner will do everything in his power "to help creditors, to maximise what they receive,’’ he told Fairfax Media.
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Some $5.8 million is owed to clients who sold paintings, books, cars and other collectibles through the company over recent months.
Around 30 of the firm's 40 plus staff were made redundant by administrators on Wednesday.
The remaining staff will do a stocktake of items still being held on premises.
The items are not considered Mossgreen assets having been consigned goods, although their return will be delayed until a full stocktake is complete, a statement said.
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The former backer Jack Gringlas's Jadig Investments is the major secured creditor.
The secured loan facility from Jadig was provided to fund its expansion with interest being charged at $40,000 a month
The auction house fell into voluntary external administration last month.
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Mossgreen, known for its Armadale tea rooms at 926-930 High Street, and single-owner house content sales, owes $5.8 million to auction clients, plus $6 million to its former part-owner, Jack Gringlas.
There were 330 creditors identified <a href="https://www.urban.com.au/news/79328-auction-house-mossgreen-owes-5-8-million-to-antique-vendors" target="_blank">at the meeting last week</a> who were <a href="https://www.urban.com.au/news/79467-creditors-told-no-law-required-trust-accounts-before-mossgreen-administration" target="_blank">told no law required trust accounts for the auction proceeds</a>.
The names of the creditors are a who's who from across Australia, ranging from passionate collectors, socialites, low key business tycoons to deceased estates.
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The biggest unsecured creditor stemmed from the auction of a book collection.
Some $1.75 million is owed to the family of <a href="http://www.mossgreen.com.au/content/event/the-collection-of-martin-copley-am/" target="_blank">the late wealthy insurance underwriter Martin Copley</a> who auctioned off the books in October.
The second biggest client was another deceased estate, that of the late South Australian building industry icon Alan Hickinbotham and his late wife Margaret. 
It was billed as the highest value collection ever to be sold in Adelaide when auctioned in May by Mossgreen's chief, Paul Sumner.
Mossgreen's most recent auction on December 7 last year was the contents of the Sheehy family with just 274 of the 438 lots being sold. The family, who are owed $45,000, inquired at the meeting whether Sumner's passport would be surrendered.<a href="https://www.mossgreen.com.au/content/event/the-ralph-drexel-collection-online-part-6/" target="_blank"> </a>
The collapse of the much heralded restructuring plan means that an earlier hope of the gallery's co-founder to return all vendor money is now uncertain, according to Fairfax Media.
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"When I said that vendor creditors would be paid 100 cents in the dollar and staff would keep their jobs, it was based on a witnessed agreement with the secured creditor," Sumner told The Australian Financial Review on Wednesday.
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But when previously asked the about creditors' chances of getting their money back, Gringlas had officially noted Sumner had "written to every vendor and told them they're going to get 100 cents in the dollar ... that he is putting in place arrangements to ensure that they all get paid. So he must believe it. I don't know where that money is coming from because there isn't the money in the company, so I can only assume he's planning to bring more money into the company."
Gringlas <a href="https://www.urban.com.au/expert-insights/investing/72946-former-armadale-theatre-building-sold" target="_blank">sold the leased High Street, Melbourne premises</a> mid-last year for around $10 million to John Karkar.
The collapse of this supposed agreement with Jadig Investments, which Sumner declined to detail to The Australian Financial Review, means the distribution of funds is in the hands of administrators.
The inside suggestion is 20 cents in the dollar.
In a statement, the administrators said they would now "begin the process of an orderly wind down of the business. Notwithstanding this, a sale will be considered and expressions of interest shall be sought."
Mossgreen was founded in 2004 by Sumner and wife Amanda Swanson.
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Mossgreen administration gathers no white knight

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Project Group Constructions, a builder working on residential and commercial projects across Melbourne with contracts valued at about $190 million, has gone into voluntary administration.
The Burnley-based Project Group is a company with about 100 staff.
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The projects listed on Project Group's now disappeared website include the 16-unit Carlton Apartments project by MQ Property Group; Codstream's $30 million 48-unit Merri Green residential project in Melbourne's inner northern suburb of Northcote; the 19-unit 70 Wattletree Road project in Armadale by developers Buxton Group and Roulston; Outline Projects' 29-unit Little Oxford development in Collingwood, and the QMAX Development in Prahran.
It went into administration last Friday with a preliminary estimate, excluding employee entitlements, of $22 million in debts – $7 million of that secured to banks and unsecured debts worth $15 million – Matthew Jess of Worrells Solvency &amp; Forensic Accountants told The Australian Financial Review.
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Project Group Constructions calls in the administrators

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The Perth-based sandalwood company Quintis has collapsed, with KordaMentha now in administration, following Friday’s decision by a US fund manager to exercise an option demanding Quintis buy back $37 million of sandalwood plantations.
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“The company does not have the financial resources available to it to pay the put option price and the directors have therefore resolved to appoint Richard Tucker, Scott Langdon and John Bumbak of KordaMentha as voluntary administrators of Quintis and its Australian subsidiaries,” Quintis said in a statement.
“We are very disappointed with this outcome given the huge efforts made over the last nine months to recapitalise the company in order to deliver its sustainable future,” Quintis chairman Dalton Gooding said.
It is understood noteholders with $US250 million invested in Quintis intend to appoint receivers and managers from McGrathNicol, over the administrators to protect their interests.
Quintis owns more than 3000 hectares of Indian sandalwood plantations across Australia’s north and manages a further 2000ha on behalf of other investors and growers.
The collapse of the high-flier, which had previously used former cricketer Adam Gilchist and F1 star Daniel Ricciardo to promote its business, follows failed hopes for a recapitalisation or buyout needed to survive.
The former cricketing great Gilchrist and F1 racing ace Daniel Ricciardo proudly announcing themselves as Quintis ambassadors in early 2016. 
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The pair met in 2015 through listed sandalwood producer TFS Corporation, which was rebranded Quintis, which Gilchrist sat on the board of until 2014. 
In December 2016, Quintis shares topped $1.70, valuing the group at nearly $700 million. Its shares last traded at 29.5¢.
Its former managing director Frank Wilson has been critical of Quintis’ financial performance since he left to pursue a buyout in March last year.
The local paper reported on the weekend Wilson was involved in an angry clash with a company executive at a western suburbs shopping centre last year.
Wilson alleged Quintis reacted to the confrontation by delaying site tours organised for Wilson as part of the due diligence associated with his proposed buyout of the company, citing its duty of care to employees.
Timbercorp, a MIS that had 18,500 investors invest into $2bn worth of tax effective timber projects over 17 years, was an earlier collapse in 2009.
Investors were advised that a TFS investment of $9,405 got 35 trees, that equates to 700kg of heartwood which could sell for $135 per kg giving $94,500, reflecting an internal rate of return of 15%, but then paying $605 per lot per annum with an expected year of harvest 2032 (15 years). 
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Daniel Ricciardo-promoted Quintis sandalwood company collapses  

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Peter Rowland, the Melbourne society catering company ranks among the top six unsecured creditors, after the auction house Mossgreen fell into voluntary external administration last month.
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Mossgreen, known for its Armadale tea rooms at 926-930 High Street, and single-owner house content sales, owes $5.8 million to auction clients, plus $6 million to its secured creditor, the former part-owner, Jack Gringlas.
The assets have been advised as $1.6 million in the bank and $1.2 million owed by auction lot buyers.
Around $166,000 is owed to the catering company who sent its executive director Steven Abela to the first creditors' meeting. There were 330 creditors identified <a href="https://www.urban.com.au/news/79328-auction-house-mossgreen-owes-5-8-million-to-antique-vendors" target="_blank">at the meeting last week</a> who were <a href="https://www.urban.com.au/news/79467-creditors-told-no-law-required-trust-accounts-before-mossgreen-administration" target="_blank">told no law required trust accounts for the auction proceeds</a>.
The names of the creditors are a who's who from across Australia, ranging from passionate collectors, socialites, low key business tycoons to deceased estates.
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The biggest unsecured creditor stemmed from the auction of a book collection.
Some $1.75 million is owed to the family of <a href="http://www.mossgreen.com.au/content/event/the-collection-of-martin-copley-am/" target="_blank">the late wealthy insurance underwriter Martin Copley</a> who auctioned off the books in October.
The British-born Copley, but Perth-based businessman, remembered for founding the Australian Wildlife Conservancy (AWC), died in 2014.
His auction items included John Gould's monumental The Birds of Australia, a large folio in eight volumes with 681 hand-coloured lithographed plates, bound in dark green morocco by Riviere, an original subscriber's set, which sold at $446,400 including premium.
Martin's daughter, Sophie Chamberlain sits on the board of AWC.
The second biggest client was another deceased estate, that of the late South Australian building industry icon Alan Hickinbotham and his late wife Margaret. 
It was billed as the highest value collection ever to be sold in Adelaide when auctioned in May by Mossgreen's chief, Paul Sumner.
The family are still owned somewhere between $960,000 and $1.2 million. The sold works included a Russell Drysdale, Grandma’s Sunday Walk, which had an estimated value of $1.8 million to $2.2 million. It was one of the last masterpieces painted by acclaimed Australian artist just before he lost his eyesight — selling for $2.97 million, the fifth-highest price for any Australian artwork at auction.
The total collection in <a href="http://www.mossgreen.com.au/content/event/hickinbotham-collection/" target="_blank">the Unley Park home</a> sold for $4.35 million.
Sydney's society Coppleson family were listed as owed $465,000, the third highest-owed creditor.
It followed the sale of the contents of the Macleay Regis penthouse, home of the late esteemed gynaecologist Professor Malcolm Coppleson and his late wife, Patricia, who was Vogue Living’s editor-at-large.
The 172 lots (<a href="http://www.mossgreen.com.au/content/event/the-malcolm-and-patricia-coppleson-collection/" target="_blank">pictured above onsite</a>) included the sale of a $192,200 Ian Fairweather work which had an $80,000 to $120,000 price guidance. A Tim Maguire fetched $117,800.
Trevor Chappell, the Sydney-based property developer, is owed $130,000, having developed a strong appreciation of Aboriginal art with wife, Carole before they then diversified into modern Western art. The works were initially displayed at the couple's Sydney home but as the collection grew it went on show at the company's offices and then toured community groups across Australia.
The collection was offered following a review of the Chappell family's estate planning.
Mossgreen's most recent auction on December 7 last year was the contents of the Sheehy family with just 274 of the 438 lots being sold. The family, who are owed $45,000, inquired at the meeting whether Sumner's passport would be surrendered.
<a href="https://www.mossgreen.com.au/content/event/the-ralph-drexel-collection-online-part-6/" target="_blank">Ralph Drexel</a> was listed as being owed $43,000.
<a href="https://www.propertyobserver.com.au/https://www.mossgreen.com.au/m/view-auctions/catalog/id/472?page=2&amp;cat=1056" target="_blank">The Jelbart family</a> were owed $50,000 after the sale of the contents of the trophy Eltham home, Kinloch.
Torbjorn Von Strokirch is owned $225,000.
Perth socialite Rhonda Wyllie is owed $145,000. Ruth Rosalion owed $43,000.
Leonie Weldon ranks among the creditors owned $32,000. 
Tom Frommer is owed $17,000. <a href="http://www.mossgreen.com.au/content/event/tom-frommers-airmails-part-ii-famous-pilots-famous-flights-international-australia-new-guinea-papua/" target="_blank">Frommer's collection of pioneer Australian air mails</a> was billed as one of the more important events in the philatelic calendar.
Deeta McGeogh, Michele Asprey, Patsy Kentwell, Vernia Bullivant, Bill Curry, and Ellen Kronen (the Waterhouse family collection) were owned between $1000 and $10,000.
Likewise Rex Dupain after the sale of <a href="http://www.mossgreen.com.au/content/event/the-max-dupain-collection-2/" target="_blank">Max Dupain works</a>.
Sam Gazal, Judy Roach, Michael Greenhalgh and Manuela Bennett are among the creditors owed $1000 or less. There was also Garry Hounsell.
John Gould was owed $862. 
Paul Sumner, who opted not to attend the meeting, and his fellow director, and wife, Amanda Swanson were listed as being entitled to $470.
<a href="https://www.urban.com.au/news/79268-mossgreen-under-administration" target="_blank">Sumner, the son of art and antique dealers</a>, took his first auction at age 17.
Judi Hausmann appears on the creditors list without any amount showing, as did Antony Loneragan.
Businesses owed money include Grace Worldwide owed $43,000, Courtney Colour catalogues $62,000 plus, Talisman Art owed $176,000, Exhibitions &amp; Trade Fairs owed $90,000 and the ad agency Spinach owed $50,000.
Brooklands Classic Cars owed $48,000 has asked the BDO administrators to seek out the motor car trader guarantee fund.
After attracting financial backing from Melbourne developer Mohan Du, Peter Rowland Catering, Melbourne’s longest running hospitality group, was acquired by investment firm Capital Alliance last September, allowing it to continue trading after personal circumstances and poor management had resulted in it posting financial losses.
The Age reported Peter Rowland Catering had been quietly placed into administration last August.
Rowland <a href="https://www.urban.com.au/news/68452-veteran-melbourne-caterer-peter-rowland-sells-grand-toorak-mansion" target="_blank">sold his $8.6 million Toorak mansion </a>he and his wife had built – "the business paid for the house, so I thought it was right that the house should support the business," he said – and used the money to bail out the beleaguered business.
The catering company employs more than 100 full-time staff and 2000 part-timers throughout the year and Rowland said only about half a dozen jobs had been lost as a result of the acquisition.
After all the catering company turmoil, most of all, Rowland, who remains chairman, but without equity, indicated he wanted to be able look people in the eye.
"I am part of Melbourne. Melbourne is my town," he said.
"I don't want to walk away from it."
 
 
 
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