Administration expected to be one of the largest in the country, impact up to 20,000 homeowners
The true extent of the collapse of Jean Nassif's Toplace property empire has come to light as creditors provided evidence of debts totaling over $630 million at the initial creditors' meeting in July.
According to the minutes filed with the corporate regulator, the rapid collapse of the once-prosperous development group became apparent. However, only $147 million of these claims were approved by the administrators, according to a report by The Australian.
During the meeting, the majority of creditors present were material suppliers, subcontractors, providers of essential building equipment like cranes and lifts, as well as staff members, The Australian reported.
One crucial detail revealed in the minutes was that Nassif – who fled to Lebanon ahead of the issuance of an arrest warrant in June – played a significant role in pushing the company into administration. He promptly responded to the administrators' request to take over, which ultimately led to the company's downfall.
The administration process began on June 19 when DvT consultant Riad Tayeh and administrator Antony Resnick attended a meeting with ERA Legal in Sydney to discuss Toplace's affairs and its empire, The Australian reported. At this meeting, Nassif’s daughter Ashlyn, Phillip Meyers (the director of sales and marketing), and John Pettigrew (the chief financial officer) were present.
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Four days later, a meeting was held with representatives from PAG, a Hong Kong-based funds manager that served as a secured creditor for a related Toplace entity, according to The Australian. The purpose of this meeting was to discuss the security of that particular firm. PAG had lent money to the group and reportedly acquired Westpac's position. An offshore entity's debt of $159 million was mentioned in the minutes.
On July 7, documents regarding Toplace's voluntary administration were sent to Nassif via email. He signed and returned them to DvT Group on the same day.
With over 140 individuals attending the first creditors' meeting, this administration is expected to be one of the largest in Australia's property sector. DvT estimated that, with over 500 secured and unsecured creditors across at least 75 entities, assets and liabilities could surpass $1 billion, potentially impacting up to 20,000 homeowners, The Australian reported.
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