Director faces investigations following Mundella collapse
The collapse of a well-known WA dairy processor and associated companies has left unsecured creditors empty-handed. Now liquidators are set to investigate possible insolvent trading and hundreds of potentially "unreasonable transactions" by the director.
Mundella, a WA dairy brand, along with its associated companies, has collapsed, leaving suppliers and employees without payment. The director, Hayden Russell, is under investigation by liquidators for potential insolvent trading and unreasonable transactions. Creditors may not recover any of the millions owed to them by Mundella Foods and two other related companies.
Dairy farmer Phil Hall, who was owed a substantial amount, faced the loss of his family farm and exit from the dairy industry. Russell's rescue plan was terminated due to non-compliance with its terms. The liquidation process will further investigate Russell's duties and has identified potential unreasonable director-related transactions worth over $100,000.
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