Liquidators for Nathan Tinkler’s company Mulsanne Resources are launching proceedings in the New South Wales Supreme Court against the former coal billionaire’s business for allegedly trading while insolvent.
The liquidators from Ferrier Hodgson believe the coal baron’s company traded while insolvent when he made the takeover offer to mining company Blackwood for $28.4 million last year.
Should Tinkler be found guilty, he could face a $220,000 fine or up to five years in jail.
Ferrier Hodgson was contacted by SmartCompany this morning, but declined to comment.
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According to The Australian, Mulsanne liquidator Robyn Duggan filed an affidavit in the NSW Supreme Court yesterday stating, “there were no reasonable grounds for the directors of Mulsanne to expect Mulsanne could pay the $28.4 purchase price under the SPA when it fell due to remain solvent”.
Duggan reportedly said it was clear Mulsanne could not fund the purchase, nor were there other finances available from Tinkler’s other businesses to fund the takeover bid.
“Mulsanne did not have any form of agreement, written or otherwise, with any potential financier or other party, that could be relied upon to provide funding for the SPA,” Duggan said.
Duggan also stated in the affidavit liquidators would commence proceedings against the company for insolvent trading.
Blackwood Corporation successfully had Mulsanne Group placed in liquidation last year after it failed to come up with the $28.4 million. Mulsanne had agreed to purchase 95 million shares for $0.30 per share in order to fund Blackwood’s exploration campaign.
As part of Tinkler’s ongoing court battles, he was forced to admit earlier this year his wife controls their $1.4 billion trust which has debts of between $500 and $600 million.
Tinkler has been forced to sell off several assets due to his financial troubles. Late last year receivers sold many of Tinkler’s prized assets including his luxury car business, a private jet and a helicopter. Earlier this month, Tinkler was also forced to sell the Patinack Farm horse racing business.