This article is from the Australian Property Journal archive
THE corporate regulator has disqualified Craig Walton, the former director of Walton Construction from managing companies, after the company collapsed owing creditors more than $78 million.
Walton has been disqualified from managing companies for four years as a result of his involvement in two failed companies.
ASIC said Walton had improperly used his corporate position to gain an advantage for himself; failed to prevent the companies from trading whilst potentially insolvent; failed to pay taxes; and failed to exercise his duties as a director with due care and diligence.
Walton Construction collapsed owing creditors more than $78 million.
The collapse attracted controversy when ASIC replaced the liquidators, Stirling Horne, Glenn Franklin and Jason Stone of the firm, PKF Lawler (formerly Lawler Draper Dillon) after the regulator raised concerns about the referral relationship they had with the Mawson Group, who also had a relationship with the Walton companies.
In 2014, the Full Court of the Federal Court of Australia agreed with the corporate regulator and appointed Grant Thornton as liquidators.
ASIC relied on Grant Thornton’s report when it decided to disqualify Walton.
Australian Property Journal
