Nathan Tinkler is one of three former co-directors the Australian Securities and Investments Commission (ASIC) banned from managing companies for between three and four years after failing to uphold their duties as directors.
Former coal billionaire Tinkler received a three years and nine months ban after appointing liquidators to 11 companies he managed, including Ocean Street holdings, Tinkler Group, Aston Metals, and Mulsanne Resources.
Tinkler was declared bankrupt last year over the sale of a luxury jet, with GE Commercial claiming he owed an estimated $2.8 million. When he was declared bankrupt, creditors claimed he owed around $250 million, the ABC reports.
He also stepped down from his role as CEO and managing director of Australian Pacific Coal following the bankruptcy ruling.
Tinkler’s two former co-directors also banned from managing companies included Troy Palmer and Donna Dennis.
Palmer received a three years and nine months ban for to appointing liquidators to nine companies he managed including The Supercar Club and Newcastle Jets Football Operations.
Dennis, however, received a three year ban for appointing liquidators to nine companies she managed including Monegeetta Holdings and Thoroughbred Administration.
The former directors were banned following information from the liquidators about the failed companies. ASIC was concerned that the three directors failed to prevent the companies from trading while insolvent, failed to ensure the companies paid their taxes, failed to discharge their duties as a director and allowed one of the companies to deliberately operate at a loss.
“The disqualifications imposed on these directors should highlight the consequences that can follow when companies are poorly managed,” ASIC commissioner John Price said.
“ASIC will seek to hold company directors accountable if they systemically fail to discharge their obligations when managing companies.”