The Australian Securities and Investments Commission (ASIC) has disqualified Jeffery Aiken, of Caloundra Queensland from managing corporations for the maximum period of five years.
Aiken was a director of four failed companies which were placed into liquidation, including Qld Prestige Cars Pty Ltd, B & E Steel Fixing Pty Ltd, Kombi Sixty Five Pty Ltd and Management Services (WA) Pty Ltd.
According to ASIC Qld Prestige Cars sold new and used luxury motor vehicles, B&E Steel Fixing provided steel fixing services to the civil, gas, mining and commercial industry in Australia and overseas, Kombi Sixty Five operated a retail surf wear store, and Management Services (WA) provided business and personal services.
ASIC found that Aiken failed to understand his directors’ duties and comply with the law when he allowed himself to be appointed as a dummy director of multiple companies to enable the former director’s resignation prior to liquidation.
The appointment of dummy directors has very harmful consequences for all parties dealing with corporations, particularly as it is likely to mislead or deceive. ASIC disqualified Aiken for the maximum period of five years to deter others from allowing themselves to be appointed as dummy directors.
In deciding to disqualify Aiken, ASIC’s investigation relied on supplementary reports lodged by the liquidators of Qld Prestige Cars, Glenn O’Kearney of GT Advisory & Consulting, the liquidators of B&E Steel Fixing, Steven Naidenov and Johnny Law of Veritas Advisory, and the liquidator of Kombi Sixty Five. Paul Gidley of Shaw Gidley.
ASIC assisted the liquidators of Qld Prestige Cars and B&E Steel Fixing to prepare a supplementary report by providing funding from the Assetless Administration Fund.
Aiken is disqualified from managing corporations until November 3, 2026.
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