Dimitrios (James) Podaridis, of Victoria, has been disqualified from managing companies for two years after his involvement in two failed companies.

During various times between 2015 and 2018, Mr Podaridis was a director of two companies that went into liquidation:

• A.C.N. 605 261 603 Pty Ltd (ACN 605 261 603) (formerly known as Champion Beverages Pty Ltd) (Champion); and
• ICBC Capital Pty Ltd (ACN 140 629 296) (ICBC).

Champion operated as a product distributor in Australia and New Zealand. ICBC, which previously held an Australian Financial Services licence, provided advisory services, raised capital and traded in shares.

In making its decision, ASIC found that Mr Podaridis:

• Breached his record keeping obligations in relation to both Champion and ICBC;
• Breached his duties to act with due care and diligence with regard to ICBC, in that he failed to actively participate in the company’s management or take reasonable steps to monitor the company’s affairs; and
• Does not adequately understand a director’s duties.

The total amount owed to creditors across both companies is estimated to be between $562,380 and $1.69 million.

In making the decision to disqualify Mr Podaridis, ASIC relied on supplementary reports lodged by Peter Gountzos and Michael Carrafa of SV Partners as liquidators of Champion, and Clifford Sanderson of Dissolve as liquidator of ICBC.

ASIC assisted the liquidators of both Champion and ICBC, to prepare supplementary reports by providing funding from the Assetless Administration Fund.

Mr Podaridis is disqualified from managing corporations until 24 May 2023.

Background

Section 206F of the Corporations Act gives ASIC the power to disqualify a person from managing corporations for up to five years if, within a seven-year period, the person was an officer of two or more companies that were wound up and the liquidators lodge reports with ASIC about each company’s inability to pay its debts or alleging misconduct.

ASIC maintains a banned and disqualified persons register that provides information about people who have been disqualified from:

• involvement in the management of a corporation;
• auditing self-managed superannuation funds (SMSFs); or
• practicing in the financial services or credit industry.

Editor's note:

On 3 August 2021, Mr Podaridis filed an application for a review of ASIC’s disqualification decision with the Administrative Appeals Tribunal. A hearing date is yet to be set.

Editor's note 2:

On 15 July 2022, an interlocutory hearing was held and the Administrative Appeals Tribunal set down a hearing date of 1 to 3 February 2023, to hear the substantive application.

Editor's note 3:

On 1 February 2023, Mr Podaridis filed a Notice of Withdrawal with the Administrative Appeals Tribunal, withdrawing his appeal of ASIC’s decision. The appeal was dismissed, effective the same date. Mr Podaridis remains disqualified until 24 May 2023.