A long history
Reconstruction & insolvency
Experience that counts
For more than 20 years, Arnold Bloch Leibler has acted in
landmark insolvency and restructuring matters, covering a
broad range of industries and cross-border insolvencies.
– Air Paradise: the firm acted for the company and
its administrators in relation to the collapse of the
Balinese airline.
– Allco Finance Group: the firm is acting on behalf of
former directors in relation to ASIC’s investigation into
the collapse of Allco.
– Ansett Airlines: the firm acts on behalf of the
administrators of Ansett Airlines as lead legal insolvency
advisers in the largest administration in Australia to date
in relation to a wide range of issues, including obtaining
a $150 million payment from Ansett’s parent company,
Air New Zealand. This is the largest recovery in Australian
corporate insolvency law to date.
– Babcock & Brown: the firm acts on behalf of ANZ Banking
Group, a financier to the Babcock & Brown group, in relation
to the informal workout of the group’s financing difficulties.
– Betcorp: the firm acted on behalf of 1st Technology, a
US-based technology licensing company, in cross-border
insolvency proceedings subsequent to Betcorp ceasing
its operations in the US following the introduction of internet
gambling legislation.
– Bradmill Undare Group: the firm acted on behalf of the
CEO of the textile manufacturing group, The Bradmill Group,
in relation to the process and negotiations regarding the
voluntary liquidation of the Bradmill Undare Group.
– Brashs’: the firm acted on behalf of the administrators
of the Brashs’ music retail chain, which was the first
administration of an Australian listed public company group.
– Budget Transport Industries: the firm acted on behalf
of the liquidator of Budget Transport Industries.
– Centro: the firm acts as the Australian agents for the
US law firm, Bracewell Giuliani, on behalf of unsecured
noteholders in Centro, the retail shopping centre investment
organisation, in relation to the corporate workout of
the group’s financing difficulties. This has involved the
development and execution of the stabilisation plan
which involved the creation of a hybrid debt instrument.
– Colevic: the firm acted on behalf of the administrators
of Colevic, a plastics manufacturer, which made parts
for the appliance, air-conditioning, electronics and
automotive sectors.
– Coplex NL: the firm acted on behalf of the administrators
of Coplex NL, a listed oil and gas exploration and production
company with numerous international interests
and subsidiaries.
– Delcare: the firm acted in relation to the first administration
of a nursing home group.
– DIM: the firm acted on behalf of the administrators of the
DIM Group – the national furniture manufacturer, wholesaler
and retailer – in which 16 associated companies were dealt
with as a single group under one deed of arrangement.
– a directors’ and officers’ insurer: the firm acts in relation
to insurance issues regarding the collapse of a large, wellknown consumer service sector provider.
– Epic Energy: the firm acted on behalf of the voluntary
administrators appointed to four of the Epic Energy companies.
– Farrow Finance: the firm acted for ANZ Trustees, the
trustee of the notes issued by Farrow Finance, one of the
Pyramid group of companies.
– Feltex Carpets: the firm acted on behalf of ANZ Banking
Group and the appointed receivers for Feltex Carpets in
relation to the insolvency of Feltex, and in the subsequent
sale of Feltex to Godfrey Hirst.
– Fincorp: the firm acted on behalf of a secured creditor in
relation to the collapse of the property development finance
company, Fincorp.
– Georges: the firm acted on behalf of the administrators
of Melbourne’s Georges boutique department store.
– Glodale: the firm acted on behalf of Investec in relation to
an appeal from a Supreme Court decision regarding statutory
obligations of receivers appointed by Investec, to obtain
market value for the sale of mortgaged property.
– Greyhound Australia: the firm acted on behalf of
ANZ Banking Group in relation to the restructure of the
Greyhound Australia business.
– Harris Scarfe: the firm acted on behalf of significant
retention of title and landlord creditors of the department
store group, Harris Scarfe, following the appointment of
voluntary administrators.
– Henry Walker Etlin Group: the firm acted on behalf of
the administrators of the Henry Walker Etlin Group, a major
construction, engineering and mining company, in relation
to the company’s voluntary administration.
– INS: the firm acted for the administrators of INS, a
developer of software for insurance companies.
– ION Group: the firm acted on behalf of the international
automotive and electrical group, Bosch, in relation to claims
against companies in the collapsed ION Group, including
regarding a settlement of claims arising under a postappointment supply agreement.
– Jacobsen Entertainment: the administrators of the
entertainment and promotions company, Jacobsen
Entertainment Limited, while the publicly listed
company was in voluntary liquidation.
– Jennings: the firm acted in relation to the workout of
the Jennings group.
– KC Park Safe Group: the firm acted on behalf of
the liquidators of KC Park Safe Group in relation to
the investigation and recovery, involving several
antecedent transactions.
– Lift Group: the firm acted on behalf of creditors in relation
to its administration and subsequent liquidation.
– Lincraft: the firm acted on behalf of the company and
its directors following the collapse of the Lincraft
haberdashery chain.
– Money for Living: the firm acted on behalf of the
administrators of the collapsed Money for Living companies
in relation to the property acquisition scheme run by the
Money for Living companies.
– National Investment Institute: the firm acted on behalf
of the receiver for the National Investment Institute, an
operating entity associated with the real estate investment
seminar presenter, Henry Kaye.
– National Safety Council: the firm acted in relation to the
collapse of the National Safety Council Victoria Division,
a charitable organisation with the objective of promoting
safety and awareness.
– Newmont Mining: the firm acted on behalf of Newmont
Mining in relation to the reconstruction and workout of
debts of Newmont’s Australian-based subsidiary, Newmont
Yandal Mining. The reconstruction involved the foreign
parent buying back hedging contracts and senior notes,
effectively acquiring approximately $650 million of the
subsidiary’s liabilities. This process set a new standard
in Australian reconstruction practice.
– ONE.TEL: the firm acted on behalf of interested parties in
relation to the collapse and sale of assets of the discount
telecommunications provider, ONE.TEL.
– Opus Prime: the firm acted on behalf of a number of
creditors of the insolvent broking firm.
– Pasminco Limited: the firm acted on behalf of the
administrators of Pasminco Limited, the Australian mining
and metal product group, in relation to commercial aspects
of the administration.
– Pure Logistics/Cold Chain group: in relation to the
appointment of receivers and managers.
– Pyramid: the firm acted for the liquidators of the failed
building society, which was at the time of its collapse the
second largest building society in Australia.
– RFG: the firm acted in relation to the receivership of RFG,
a manufacturer of inflatable safety equipment.
– Seeing Eye Dogs Australia: the firm acted on behalf of
the administrators of Seeing Eye Dogs Australia, including
in relation to the preparation of the Association’s counter
claim subsequent to the dismissal of the chief executive
who attempted to sue the Association.
Arnold Bloch Leibler, Reconstruction & insolvency, A long history
– Soccer Australia: the firm acted on behalf of Soccer
Australia in relation to the winding up of Soccer Australia
and its restructuring to form a new entity, Australian
Soccer Association Limited. With the restructure and the
co-operation of members, a voluntary administration was
avoided. The wind-up also preserved relationships with
sponsors, extracted the game from contracts and helped
provide the potential for future participation in a stronger,
better governed sport.
– Sons of Gwalia: the firm acts on behalf of a group of
US-based institutional investors that purchased notes
valued at approximately US$170 million from Sons of Gwalia
in relation to the administration of the Western Australiabased mining business. This included acting on behalf
of ING Investment Management LLC, the representative
creditor, in the landmark High Court case in the Sons of
Gwalia administration in relation to the determination of the
priority and status of shareholders’ damages claims against
an insolvent company. The firm also acted on behalf of the
committee of creditors in relation to the administration
and reconstruction of Sons of Gwalia Limited, including
regarding the conduct of creditor-funded litigation and
the restructure of the company’s minerals division.
– Southern Cross Airlines: the firm acted on behalf of the
only secured creditor of the trunk route airline, Southern
Cross Airlines, which was branded as Compass Mark II
and collapsed a year after its launch.
– Supreme 3: the firm acted on behalf of major creditors
in relation to various aspects of the winding up of the four
related entities of Supreme 3, a Melbourne-based clothing
manufacturer, including regarding a successful application to
appoint a sole liquidator for the four related entities of the group.
– Sydney property development company: the firm acted
on behalf of the receivers of companies involved in the
development of a failed large residential project in Sydney
in relation to the receivership of a large residential project in
Sydney, including disputes over payments under the Building
and Construction Industry Security of Payment Act and
building defects disputes.
– Tricom: the firm acted on behalf of Tricom, the specialist
futures broking firm, in relation to the winding down of its
margin loan book.
– Westpoint Group: the firm acted on behalf of the receivers
and managers of certain companies in the Westpoint
Group in relation to a number of incomplete construction
projects in Port Melbourne, including assisting the receivers
and managers to conclude replacement contracts with
subcontractors for the completion of the projects.
– the CFO of a large mining company: in relation to an
insolvent trading claim by the liquidator against the directors
and the CFO.
Acquisition of distressed assets
Public policy contributions
Arnold Bloch Leibler regularly acts in relation to the acquisition
of distressed assets from receivers.
Arnold Bloch Leibler is actively involved in public policy
advocacy and law reform in the area of reconstruction and
insolvency, including:
– Becton Property Group: the firm acted on behalf of Becton
in relation to its acquisition from the failed Estate Property
Group of a $530 million portfolio of development assets. The
firm also assisted Becton in the acquisition of a $170 million
nine property portfolio from the collapse fund manager and
property investment group, Fincorp.
– Faiveley Transport Group: the firm acted in relation
to the acquisition from Integrain’s administrators of the
assets of Integrain, a rail and related systems business,
with contracts with the Melbourne rail network and the
London Underground.
– Sportsgirl Sportcraft Group: the firm acted on behalf
of Sussan Corporation in relation to the acquisition and
restructure of the Sportsgirl retail fashion chain.
– Tassal: the firm acted on behalf of Mariner Corporate
Finance and the Tassal Group in relation to the acquisition
of the Tassal salmon supplier business from its receivers
and managers and subsequently in its initial public offering
and listing on the ASX.
Regulatory matters
Arnold Bloch Leibler has also acted in a number of regulatory
matters arising from insolvencies and corporate collapses,
including members of the firm’s pre-eminent white collar crime
defence practice representing business leaders in investigations
and court proceedings.
– HIH Insurance: the firm acted on behalf of Ray Williams,
founder and former CEO of HIH Insurance, in relation to
investigations by the Australian Securities and Investment
Commission at the HIH Royal Commission, and in a class
action by former HIH insureds following the collapse of
Australia’s second largest insurer in March 2001.
– Stockford: the firm acted on behalf of the administrators of
the listed accounting group, Stockford, in relation to Australian
Securities and Investment Commission proceedings.
– Tricontinental Merchant Bank: the firm acted on behalf
of Tricontinental’s Managing Director, Ian Johns, in relation
to the Australian Securities and Investment Commission
investigation, the Royal Commission that was established
to investigate the collapse of the merchant bank and
proceedings in the High Court where the due process
of the Royal Commission and Australian Securities
Commission was challenged.
– presenting oral submissions to the 2003 Joint Parliamentary
Committee on Corporations and Financial Services in relation
to its inquiry into improving Australia’s insolvency law;
– presenting a submission to a 2004 House of Representatives
Standing Committee on Legal and Constitutional Affairs
inquiry into amendments to the Bankruptcy Act;
– presenting at the 2007 New Zealand Judicial Conference
shortly prior to the introduction of voluntary administrations
in New Zealand; and
– preparing a submission to the 2008 Government’s
Corporations and Markets Advisory Committee in relation
to the potential effects on corporate reconstructions of the
Sons of Gwalia decision.
Contacts
If you would like further details about the information contained
in this publication, or assistance with any insolvency and
recosntruction-related matters, please contact:
Partner’s name, Leon Zwier
Telephone 61 3 9229 9646
lzwier@abl.com.au
Further information
The firm’s practice areas cover a range of commercial and
corporate advice, including:
–
–
–
–
–
–
–
–
–
–
–
–
banking & finance;
commercial & corporate;
employment & industrial relations;
litigation & dispute resolution;
native title & public interest law;
property & development;
public companies;
reconstruction & insolvency;
taxation;
technology & intellectual property;
trade practices; and
wealth management.
For copies of recent publications, or for further information
about the firm, please visit the Arnold Bloch Leibler web site
at www.abl.com.au.
Arnold Bloch Leibler, Reconstruction & insolvency, A long history
Arnold Bloch Leibler
Lawyers & Advisers
Level 21 333 Collins Street
Melbourne VIC 3000 Australia
Telephone 61 3 9229 9999
Facsimile 61 3 9229 9900
Level 24 Chifley Tower 2 Chifley Square
Sydney NSW 2000 Australia
Telephone 61 2 9226 7100
Facsimile 61 2 9226 7120
www.abl.com.au