Following an ASIC investigation, Mr David John Leigh, 56, of Sherwood in Queensland, has appeared before the Magistrates’ Court in Brisbane charged with three counts of fraud under section 408C(1) of the Criminal Code 1899 (Qld). 

ASIC alleges that between 25 July 2017 and 9 November 2017, Mr Leigh, while a co-liquidator of Neolido Holdings Pty Ltd (Neolido), caused the transfer of a total of $800,000 from Neolido’s liquidation account to the bank account of a private company that he controlled, and then used the funds for his own purposes. 

The charges have been listed for a mention at the Brisbane Magistrates’ Court on 2 November 2018.

The matter is being prosecuted by the Commonwealth Director of Public Prosecutions.

Background

Neolido Holdings Pty Ltd (in Liquidation) was a property development company based in South Brisbane that was wound up on 25 November 2005 pursuant to a court order obtained by ASIC. On 14 October 2010, Mr Leigh, who was then a partner of PPB Advisory, was appointed as a co-liquidator of the company. 

On 2 March 2018, ASIC suspended Mr Leigh’s registration as a company liquidator following receipt of an application by him which was formally lodged on 28 February 2018. Mr Leigh agreed to resign as external administrator of all his current appointments and ASIC exercised its powers to appoint replacement liquidators to 16 companies to which Mr Leigh had been appointed as sole liquidator. 

On 20 March 2018, Mr Andrew Fielding and Ms Helen Newman of BDO Business Restructuring were appointed as co-liquidators of Neolido. 

Under section 408C(2A) of the the Criminal Code 1899 (Qld), the maximum penalty for an offence of fraud is 20 years’ imprisonment where the property value is at least $100,000.

Editor's note:

On 31 October 2018, Mr Leigh was committed for sentence before the Brisbane District Court on a date to be fixed in relation to three counts of fraud under section 408C(1)(D) of the Criminal Code 1899 (Qld) (refer: 18-339MR).