PALMER TO SUE QLD NICKEL ADMINISTRATORS FOR $1.2B

Written on the 17 May 2016

PALMER TO SUE QLD NICKEL ADMINISTRATORS FOR $1.2B

CLIVE Palmer is set to sue the administrators of Queensland Nickel for $1.2 billion.

Palmer announced in Brisbane today that two of his companies will launch legal action against administrator John Park and the firm he works for, FTI Consulting.

Palmer says he will serve a statement of claim in coming weeks seeking $1.2 billion, accusing Park and FTI of aiding and abetting a breach of trust and causing serious breaches of the Queensland Nickel Joint Venture Agreement.

Queensland Nickel, which operated the Yabulu refinery in Townsville, was placed into administration in April, owing more than $150 million to creditors.

Palmer appointed FTI as administrators and almost 800 workers have lost their jobs.

Palmer says FTI should not have closed down the plant.

"The role of an administrator should be to do everything possible to preserve, protect and defend a business and to keep it operating, not to destroy it as Park has done," says Palmer.

"It was John Park who caused an unlawful breach of trust and contract disregarding the lawful rights of joint ventures to close the refinery and dismiss the workforce causing social upheaval to fill his own pockets.

"Park knows that if he had acted in accordance with the law, the closure and dismissal of the workforce didn't have to happen. Park and FTI need to be brought to account for their actions."

An FTI Consulting spokesperson says these allegations are completely without foundation.

"We intend to strenuously defend these allegations from Mr Palmer, if he does in fact commence proceedings," says the spokesperson.

"We note that he recently commenced a court application against the administrators which he withdrew only hours before the judgement was due to be delivered. Mr Palmer has an extensive track record of using legal proceedings, which is well known."


Latest News

BELLAMY'S FINDS EXPORTING BABY FORMULA INTO CHINA IS NO CHILD'S PLAY

BELLAMY'S (ASX: BAL) shares have suffered a 40 per cent drop in value today after the company hit a regulatory...

BRISBANE WATCH BRAND ADINA AIMS FOR ICONIC

ADINA watches is at a turning point in its history, 45 years after being founded by Robert 'Bob' Menzies i...

WHY YOU SHOULD CARE FOR YOUR BODY AS MUCH AS YOUR BUSINESS

ENTREPRENEURSHIP is a busy business. It can be all-consuming, but it is important not to neglect your health Y...

BULLETS BACK IN THE BUSINESS COMMUNITY

ALTHOUGH new to the current south-east Queensland sporting landscape, the Brisbane Bullets have a rich basketball ...

Related News

JB HI-FI IS THE GOOD GUY IN $870 MILLION ACQUISITION

ELECTRONICS giant JB Hi-Fi has formally completed its $870 million acquisition of home appliance chain The Good Gu...

ACCC ACTS AGAINST MERITON'S RIGGED REVIEWS

MERITON Property Services is under fire from Australia's main consumer watchdog, after it allegedly engaged in mi...

ACCC FIRES WARNING SHOT TO IVF PROVIDERS

IVF clinics have been put on notice by consumer watchdog, the Australian Competition and Consumer Commission (ACCC...

BIG W CEO QUITS AFTER 11 MONTHS

SALLY MacDonald has resigned as chief executive of BIG W ending her tenure at the helm of the struggling discount ...

Contact us

Email News Update Sign Up Contact Details

Subscribe to our mailing list

* indicates required
Email Format

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter