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

FLYING START TO 2017 PASSENGER NUMBERS FOR GOLD COAST AIRPORT

RECORD numbers of travellers used the Gold Coast Airport (GCA) in January this year, continuing a five-year trend ...

SUNCORP SAYS IT'S 'COVERED' AGAINST FINANCIAL COST OF CYCLONE DEBBIE

INSURER Suncorp (ASX: SUN) says it is "well protected" against the financial impact of Cyclone Debbie th...

ADELAIDE DIGITAL MARKETING GURUS CHANGING THE FACE OF ONLINE RETAILING

Frank Grasso, CEO of Adelaide based Dynamic Creative, believes his company's new software will revolutionise Adwo...

WHY A JUNIOR MINER DECIDED TO JOIN THE RANKS OF THE HOT POT STOCKS

USUALLY, when a relatively unknown explorer experiences a sharp spike in its share price, it means they've fou...

Related News

RAY OF HOPE FOR SLATER AND GORDON AS LENDERS STEP IN

EMBATTLED law firm Slater and Gordon (ASX: SGH) has announced to the ASX that it has launched confidential discussion...

SPROUTX PROVIDES THE SEED FOR AGTECH STARTUPS

AGTECH innovation fund SproutX has opened applications for its first accelerator round, backed by $10 million from...

GAS PRICES MAY FORCE BRICKWORKS TO TAKE MANUFACTURING OVERSEAS

BRICKWORKS Limited (ASX:BKW) chairman Robert Millner says soaring energy prices may force the company to turn to offs...

CHINA CONTINUES TO COLLECT AUSSIE PROPERTY ASSETS

CHINESE coin continues to dominate Australia's offshore real estate investment market, accounting for almost h...

EVENTS COMING UP

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter