Hello Nick

I am sure that others in our group would be interested in joining. Mind you our
affairs have been
going on for 2 years, so energy levels have waxed hi and lo over this time - I
am sure you know
what I am talking about! Only now are we starting to get some finalisation - and
only because we
have persisted and persisted.

We have also been particularly fortunate to have appointed Ken Stout of Boutique
Corporate
Advisory to our cause. He is a one of the most talented of the insolvency
practitioners in
Melbourne as this has been his sole area of specialisation for the last 15 years
(he was a former
partner of Ernst &Young). Ken's work on FNT Industries helped expose Lockwood's
incompetence which eventually saw Lockwood struck off an insolvency
practitioner.

My area of specific interest is reclaiming super.

The mechanism that Lockwood tried to effectuate was to essentially hive all the
former debts of
Swish into a Trust. This was intended, I believe, to quarantine the new Swish
(which is a going
concern) from the former debts. It was also intended that the pool of assets
associated with this
Trust would form the entirety of the means by which the
Admininstrators/Trustees' fees would
be paid and then of course all other creditors in rank of priority.

A major issue has been the excessive level of fees charged by the
Administrators, Horwaths
(and their high level of disbursements for such things as legal advice from
Deacons), while the
value of the assets plummeted. As an example at the time of the Administration,
there was
c$250K in cash and 6Million shares @ 6c = c$360K. The Administrators have burned
through
the $250K cash and stood idly by while the shares have lost 66% in value down to
2c (they
could have sold them at much higher prices). This is the same pool from which
our super is
supposed to be paid from.

We argue as Administrators, they owe a special duty of care and that this is
simply reckless and
negligent conduct on their part. We see fee disgorgement as a valid request.

I'm interested to hear your thoughts.

Cheers

Antony


---


In otmushrooms@..., nick4mony <no_reply@y...> wrote:
>
> --- "antonyhing" wrote:
>
> > I'm a former employee of a Melbourne e-Business company called Swish
>
> In our deliberations some 10 months ago, we did actually talk about
> your company - being another that had a Deed similar to yours.
>
> It is good that we have someone from the Swish group here. Are you
> able to get more of your people to join?
>
> Nick.