Clive Palmer 'shadow director' of QNI, say administrators

CLIVE Palmer is being treated as a "shadow director" by the administrators who are examining the financial records of his failed Queensland Nickel refinery.

FTI Consulting confirmed their allegations against Mr Palmer in its report released on Tuesday, despite the Member for Fairfax's repeated claims he was not involved in the operation of the failed company.

"During the course of our appointment, we have carried out investigations into the conduct of various individuals whom may have acted in the capacity of a shadow/de facto director," the report reads.

"Our observations indicate Mr Palmer, a former Director of the Company, appears to have acted as a shadow/de-facto director of QN at all material times from February 2012 up to the date of our appointment on 18 January 2016 (excluding any tenure as appointed Director)."

Mr Palmer had told the administrators his actions were within his rights as a Queensland Nickel, QNI Resources and QNI Metals joint venture committee member.

"By correspondence received on 11 April 2016, Mr Palmer alleges his actions in any activity relating to the Joint Venture business was consistent with the rights and obligations set out in the Joint Venture Agreement and his role as a member of the Joint Venture Operating Committee which operates under the Joint Venture Agreement," the report sets out.

"Based on the evidence available to date, the Administrators have conducted investigations on the basis that Mr Palmer is a shadow/de facto director of QN, and owed the same duties to QN as the formally appointed Director, Mr Mensink (herein referred to collectively as the Directors)."

The report paints a bleak picture for creditors seeking remuneration, while alluding to possible breaches of the Corporations Act 2001 (Commonwealth) by Queensland Nickel's directors (identified in the report by FTI Consulting as Clive Mensink and Clive Palmer).

FTI Consulting also indicated there may be a case against the directors for insolvent trading provided the legal action could be afforded with the report indicating Queensland Nickel incurred debts of about $771 million after its date of insolvency- November 27 last year.

Mr Palmer has been unable to be reached for comment so far today.


Palmer's Queensland Nickel may be "guilty of negligence"

THE directors of Clive Palmer's Queensland Nickel refinery should be investigated for potentially misappropriating more than $224 million in "related party" transactions the refinery made to companies run by "director-related entities".

A report from the administrators of QNI, FTI Consulting, was released to creditors owed at least $100 million, on Tuesday, ahead of another creditors meeting this Friday.

The report has revealed QNI had made payments of $122 million to Clive Palmer's Mineralogy Pty Ltd, $58 million to the Palmer Coolum Resort, $24 million to Palmer Aviation and $5.9 million to Blue Star Lines - all companies that have been directed at some point in the past five years by Mr Palmer.

"It is our view these transactions have appropriated assets otherwise available to Queensland Nickel and its creditors for the benefit of director-related parties, and because of these transactions, caused detriment to Queensland Nickel," the report reads.

It says that administrators had identified "a number of offences in relation to (Queensland Nickel) that may have been committed by directors of the company".

"In particular, our investigations indicate persons, who have taken part in the formation or management of the company, may have misapplied money or property of the company," the report reads.

"Further, we are aware of persons whom may have been guilty of negligence, breach of duty or trust of the company."

The report has referred the alleged misappropriations to the Australian Securities and Investments Commission for investigation.

Mr Palmer has repeatedly denied any wrong-doing in relation to the management of Queensland Nickel or its associated companies.


Palmer's Qld Nickel told to 'liquidate' to get money back

CREDITORS of Clive Palmer's ailing Townsville nickel refinery have been urged to liquidate the business if they ever want to see their money returned.

A report from FTI Consulting, the voluntary administrators of the Queensland Nickels Yabulu refinery were expected to release a report to creditors of the business owed a total of $100 million today.

The Australian reported this morning that report was likely to recommend creditors' vote to liquidate the business at a meeting this Friday.

The report is also expected to detail FTI Consulting's findings related to Mr Palmer's alleged use of the "Terry Smith" alias.

Numerous media reports including Monday nights Four Corners on the ABC found Mr Palmer had used the alias in order to secretly sign off on multi-million invoices for the refinery, despite not being listed as a director of the company at the time.

4Corners: political players, former colleagues and ex-workers ...

Here's a cross section of opinions from some of the political players, former colleagues and ex-employees speaking out on tonight's Four Corners report on 'Clive Palmer'.

Posted by Four Corners on Monday, 11 April 2016

It is understood the corporate regulator is also investigating Queensland Nickel over possible contraventions of the Corporations Act, related to the responsibilities of company directors.

The Four Corners program last night trailed Mr Palmer's interests across Queensland, Western Australia and other states, detailing his often fraught relationships with former allies in the worlds of business and politics.

Among the allegations made in the program were from former Palmer United Party Senator Glenn Lazarus, who said he left the Mr Palmer's political after he bullied him.

Mr Palmer has denied the allegations and hit out at Four Corners for not allowing him to appear in a "live" interview on the pre-recorded investigative news program.

Son's rare blood disease inspires mum to forego vanity

Son's rare blood disease inspires mum to forego vanity

Alicia Armstrong has good reason to want to shave for a cure.

BURNOUT: Ride-on mower catches on fire at Darts Creek

BURNOUT: Ride-on mower catches on fire at Darts Creek

An area of land about 100sq m also caught fire during the incident.

Woman hospitalised as neighbour dispute erupts at Barney Pt

Woman hospitalised as neighbour dispute erupts at Barney Pt

The woman suffered facial injuries in the incident.

Local Partners