As noted in our recent update, Mr Sullivan and an associated creditor of his Bankrupt Estate (Tuija Investments Pty Ltd) sought the replacement of Messrs Terry van der Velde and Jason Cronan of SV Partners as Trustees of the Bankrupt Estate of Mr Sullivan.
We (on behalf of the PFMF) supported the appointment of Messrs van der Velde and Cronan as Trustees of the Bankrupt Estate; however, Mr Sullivan and Tuija Investments Pty Ltd raised concerns about their independence to administer the Bankrupt Estate and sought their removal as Trustees by way of an application to Court. The matter was set down to be heard by the Court in March 2020 over four (4) days.
The Bankruptcy Trustees’ investigations into Mr Sullivan’s involvement in various trusts and companies have been delayed by the Court application. Until this matter was resolved, their investigations, including a public examination to assist the Trustees’ investigations, were unable to be actively pursued.
To overcome the allegations of independence, and allow the investigations in the Bankruptcy to continue in a more timely manner, we reached a compromise on a commercial basis with Mr Sullivan and Tuija Investments Pty Ltd to replace Messrs van der Velde and Cronan of SV Partners as Trustees of the Bankrupt Estate and appoint Mr Anthony Castley of William Buck. Mr Castley is accepted to be independent by Mr Sullivan and the creditors of his Bankrupt Estate so his appointment as Trustee avoids the possibility of Mr Sullivan’s preferred Trustees being appointed.
Mr Castley is now able to continue with the investigations into Mr Sullivan’s assets and associated entities. A further update will be provided once Mr Castley reports to creditors.