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Conduct had the potential to undermine confidence, regulator said.
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ASIC gives liquidator reprimand rather than ban
04 July 2022
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9 minute read
ASIC has stopped short of banning liquidator Nicholas Crouch for breaches of the Corporations Act and given him a public reprimand.
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Mr Crouch, of Sydney-based Crouch Amirbeaggi, was referred to a disciplinary committee after ASIC issued him a show-cause notice in relation to matters arising from his voluntary administrator role of Australian Tailings Group Pty Ltd.
The ASIC committee deemed Mr Crouch had failed to adequately carry out his duties or functions as a registered liquidator and that he had accepted an appointment as a voluntary administrator when he was not seen as independent due to previous dealings.
It also found that Mr Crouch contravened provisions of the Corporations Act 2001 by failing to lodge an end-of-administration return with ASIC.
Mr Crouch further breached the act by failing to transfer to the liquidator who replaced him all books relating to the voluntary administration that were within his possession or control.
The committee came to the decision that Mr Crouch should continue to be registered as a liquidator but should be publicly reprimanded.
ASIC directed Mr Crouch to decline any further appointments as a liquidator from 29 June 2022 to 31 December 2022.
ASIC commissioner Sean Hughes said that the breach of the Corporations Act by Mr Crouch was serious as it could undermine confidence in registered liquidators.
“Mr Crouch’s conduct was serious and had the potential to undermine confidence in registered liquidators,” said Mr Hughes.
“The committee’s decision serves as an important reminder to all registered liquidators of their obligation to at all times adequately and properly perform duties of a liquidator and comply with their obligations under the Corporations Act.”
The committee declared that the notice of Mr Crouch’s reprimand should be published on ASIC’s website.
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