Australian Supreme Court suspends registration of liquidator Peter Ivan Macks for three years

The Supreme Court of South Australia on 12 February 2021 suspended Peter Ivan Macks’ liquidator registration for a period of three years, commencing on a date yet to be fixed.

Macks’ suspension will begin when Justice Doyle hands down his final orders.

Pursuant to the decision, orders are also to be made for the removal of Macks from all current appointments as liquidator or receiver and manager, that Macks be restrained from accepting any kind of corporate insolvency appointment during his suspension period, and that he pay 50% of Australian Securities and Investments Commission’s (ASIC’s) costs of proceedings.

The suspension order came after Ivan Mack was found to fabricate memoranda and place on them the initials of other persons working at his firm, in order to deceive ASIC during its investigation into Macks’ conduct as liquidator of Bernsteen Pty Ltd and Newmore Pty Ltd

Ian Burford of Macks Advisory will become the sole appointee for all companies where Ivan Macks was removed.

In his judgment, Justice Doyle said: “The position of liquidator is a repository of public trust; the public is entitled to trust a liquidator to perform their functions to a high standard and with scrupulous attention to obligations of candour, honest and integrity. When a liquidator falls short of the standards expected of them, the public’s trust in the office of liquidator is eroded. That in turn has a corrosive effect on the administration of the body of insolvency law, and consequently on the administration of justice.”

ASIC first became involved in the proceedings against Macks in December 2014 by intervening to support a private application made by John Viscariello to remove Macks as liquidator of two companies only, Bernsteen and Newmore.

Viscariello first commenced proceedings against Macks in 2006, alleging that Macks engaged in improper conduct in his capacity as a liquidator for Bernsteen and Newmore. The matter was decided by the Chief Justice of the Supreme Court of South Australia Chris Kourakis in 2014. In April 2015, the chief justice made orders by consent that Macks be removed as liquidator of Bernsteen and Newmore and a new liquidator be appointed. Macks appealed the Supreme Court decision.

In May 2015, ASIC filed its own separate application against Macks seeking various orders, including that the court conduct an inquiry into Macks. ASIC agreed to adjourn its own application pending the determination of Macks’ appeal in the action brought against him by Viscariello, on the basis that Macks was to expedite his appeal.

The Court inquiry initiated by ASIC, the subject of the decision of 12 February 2021, was heard before Justice Doyle in the Supreme Court of South Australia between 11 and 18 May 2020.

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