At the first meetings of creditors today, unsecured creditors of the golf course and associated Belair Park Country Club were told a dividend was unlikely to be paid back to them following a probable liquidation process.
The two companies fell into the hands of administrators on January 16, owing 50 unsecured creditors, including the State Government, about $735,000.
The State Government is unlikely to recover any of the $165,000 owed to it by the Belair National Park Golf Course, to which it provided two years of free rent in the lead up to the company’s demise.
Another $25,000 is owed to individuals who had booked functions at the venue, including around 20 couples who were planning to celebrate their weddings there.
Simon Miller, from administrator Clifton Hall, said it was likely the companies would be put into liquidation at the second meeting of creditors next month.
“Certainly there will be some money available for the secured creditors and for the employees … but unfortunately for other unsecured creditors and parties who have paid deposits it’s unlikely there’ll be any return to them,” he said following today’s meetings.
Mr Miller said dwindling golf course membership and high costs of running the function centre were two major contributors to the companies’ downfall.
Scott Mason, who had planned to wed his partner Annie Kleinig at Belair in March, left today’s meeting expecting to lose his $1500 deposit.
“The big boys will get their money first, the banks and so forth … us at the other end probably won’t see a cent,” he said.
“We’ve been lucky … we’ve been able to secure another location at Mt Osmond golf club for the same date, same time.”
A detailed report into the companies’ demise will be sent to creditors in two to three weeks, Mr Miller said, before a second meeting to formalise a liquidation process.
That will involve a sale of the companies’ assets and repayment to secured and then unsecured creditors.
Financier ANZ and employees are first on the pecking order, and are together owed about $1.4 million.
Mr Miller said the administrators had sought to sell the businesses as part of the administration process, but that “the trading position just wasn’t viable”.
January 25, 2018
Sfera’s Park Suites & Convention Centre, Invitations for all Occasions and Sporting Car Club of South Australia were among wedding suppliers offering free or discounted venues or services to couples affected by the closure of the Belair venue, which was placed into administration on January 16, leaving as many as 20 engaged couples without a venue.
Simon Miller, from administrator Clifton Hall, told The Advertiser the decision to close down the venue, which is located on State Government-owned land, was made on Wednesday after “an urgent review of the financial position”.
He confirmed the Belair National Park Golf Course had also gone into administration, with fairways now closed to the public.
He was unable to confirm the amount of debt owed to creditors of both companies.
“The country club will be servicing a couple of functions in the next couple of days as well as three weddings in February, but beyond that it will be ceasing to trade,” Mr Miller said on Wednesday.
The first creditors’ meeting will be held at 12pm on January 29 at the King William St offices of Clifton Hall.
– Administrator Clifton Hall has already indicated that the Belair National Park Golf Course has closed its doors while the Belair Park Country Club would service functions in February before ceasing trade.
– Creditors of both companies, including those who have paid deposits for functions, have until 4pm today (Thursday) to submit their claims for money owed to them.
Source: The Advertiser