ASIC disqualifies property development director for five years

ASIC has disqualified Mr Craig Simpson Turnbull from managing corporations for five years due to his involvement in the failure of two companies.

Between 27 November 2007 and 25 May 2022, Mr Turnbull was a director of:

53/53 Pty Ltd ACN 128 659 807; and
Next Gen Operations Pty Ltd ACN 604 881 085.
Both companies were involved in property development.

ASIC found that Mr Turnbull acted improperly and failed to meet his obligations as a director when he:

used his position as a director of 53/53 Pty Ltd to enable the company to misuse funds it received from lot purchasers and loan investors that resulted in Mr Turnball his partner and a related party gaining a financial benefit and causing detriment to 53/53 Pty Ltd;
failed to act with care and diligence in not ensuring that 53/53 Pty Ltd complied with its statutory obligation to pay land tax to the Office of State Revenue;
failed to take reasonable steps to prevent 53/53 Pty Ltd from continuing to trade and to incur debts when it appeared to be in significant financial distress;
failed to submit a Report on Company Activities and Property to Next Gen Operations Pty Ltd’s liquidator within the required time; and
failed to do what Next Gen Operations Pty Ltd’s liquidator reasonably required to help in the winding up.
At the time of the decision, the two companies owed a combined total of $5,287,774 to unsecured creditors, including $58,875 to the Office of State Revenue.

In disqualifying Mr Turnbull, ASIC relied on reports lodged by 53/53 Pty Ltd liquidator, Neil Cribb of RSM Australia, and Next Gen Operations Pty Ltd liquidator, Cameron Shaw of Hall Chadwick. ASIC assisted Neil Cribb to provide a supplementary report by approving an application for funding from the Assetless Administration Fund.

Mr Turnbull is disqualified from managing corporations until 17 May 2028.

Mr Turnbull has the right to seek a review of ASIC’s decision by the Administrative Appeals Tribunal.

Leave a Reply

Your email address will not be published. Required fields are marked *