Bookmaker Thomas Waterhouse has moved to have Sydney businessman Andrew Sigalla declared bankrupt, after he failed to comply with a court order over a $2.6 million debt. The creditor's petition, which was part-heard in the Federal Magistrates Court last week, is the latest in a series of legal issues for Mr Sigalla, who is being sued by TZ Ltd, the listed technology company he once ran. He was also recently fined for contempt of court for breaching a freezing order over his assets, and the Australian Taxation Office has applied to have his property development business wound up. Mr Waterhouse, the son of horse trainer Gai Waterhouse, commenced the bankruptcy proceedings against the former executive and horseracing identity late last year. While Mr Waterhouse did not return calls, his creditor's petition claims that Mr Sigalla owes him $2,591,764.82, plus interest, pursuant to a previous order made by the Victorian Supreme Court in May. He alleges that Mr Sigalla committed an "act of bankruptcy" when he failed to comply with a subsequent bankruptcy notice served in September. "I say the respondent debtor failed, within 21 days after service of the bankruptcy notice, to pay the debt or make arrangements to my satisfaction for payment of the debt," Mr Waterhouse said in his affidavit. He has requested a sequestration order to have Mr Sigalla declared bankrupt. Mr Sigalla declined to comment. A lawyer for Mr Waterhouse said he was hopeful his client's issues with Mr Sigalla could be settled out of court. Mr Sigalla has a month to file a notice of opposition and an affidavit setting out his financial position, including a statement of any assets, liabilities, income and expenses, ahead of a further hearing scheduled for next month. The court has also requested details of any freezing orders. Both ASIC and TZ, which is now chaired by Wizard Home Loans founder Mark Bouris, were granted freezing orders over Mr Sigalla's assets in September. TZ is pursuing Mr Sigalla and other former directors of the company in a bid to recover $13.2m in loans and receivables. The case will be heard in the NSW Supreme Court in August. Until recently, Mr Sigalla was the executive chairman of TZ, where he was paid close to $900,000 last financial year. He resigned in June and was replaced by Mr Bouris. He is defending TZ's claim and is counter-suing for $1.1m in termination benefits.
Courtesy of REBECCA URBAN of the AFR, 16/02/2010 |
BOOKIE WANTS $2.6 MILLION DEBTOR BANKRUPTED