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You can find the current article at its original source at http://www.theguardian.com/australia-news/2016/apr/15/queensland-nickel-federal-government-to-appoint-its-liquidator-to-pursue-clive-palmer
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| Queensland Nickel: federal government to appoint its liquidator to pursue Clive Palmer | Queensland Nickel: federal government to appoint its liquidator to pursue Clive Palmer |
| (5 months later) | |
| The federal government plans to use its own liquidator to pursue Clive Palmer for money owed to sacked Queensland Nickel workers in an unprecedented commonwealth intervention into a corporate failure. | The federal government plans to use its own liquidator to pursue Clive Palmer for money owed to sacked Queensland Nickel workers in an unprecedented commonwealth intervention into a corporate failure. |
| And the mining magnate says the government is going after him because it wants him out of parliament. | And the mining magnate says the government is going after him because it wants him out of parliament. |
| The employment minister, Michaelia Cash, will seek the appointment of a special-purpose liquidator to claw back $73m “ripped off” from almost 800 sacked workers. | The employment minister, Michaelia Cash, will seek the appointment of a special-purpose liquidator to claw back $73m “ripped off” from almost 800 sacked workers. |
| Cash said the government would take the “unusual step” of seeking its own liquidator to join the looming hunt to recover creditors’ money from Palmer’s business empire because of the “enormous amount of taxpayers’ funds” at stake. | Cash said the government would take the “unusual step” of seeking its own liquidator to join the looming hunt to recover creditors’ money from Palmer’s business empire because of the “enormous amount of taxpayers’ funds” at stake. |
| “We should all be very clear where responsibility lies for this mess. It lies fairly and squarely with Clive Palmer,” she told reporters in Townsville. | “We should all be very clear where responsibility lies for this mess. It lies fairly and squarely with Clive Palmer,” she told reporters in Townsville. |
| Cash said the government would give early access for QN workers to its fair entitlements guarantee (FEG) scheme, which the company’s administrators have said would probably pay out at least $58m. | Cash said the government would give early access for QN workers to its fair entitlements guarantee (FEG) scheme, which the company’s administrators have said would probably pay out at least $58m. |
| This was to avoid them getting caught up in a “lengthy liquidation process” – through which workers who did not receive all their entitlements under the capped FEG scheme would have to line up as creditors to get the rest. | This was to avoid them getting caught up in a “lengthy liquidation process” – through which workers who did not receive all their entitlements under the capped FEG scheme would have to line up as creditors to get the rest. |
| Cash said the government’s liquidator would work alongside QN’s liquidator to pursue recovery of money “where possible”, including from “Clive Palmer and all of his entities that have been the beneficiaries of the cash that has been stripped from Queensland Nickel”. | Cash said the government’s liquidator would work alongside QN’s liquidator to pursue recovery of money “where possible”, including from “Clive Palmer and all of his entities that have been the beneficiaries of the cash that has been stripped from Queensland Nickel”. |
| “If money has been improperly taken out of the company, then it will be pursued,” she said. | “If money has been improperly taken out of the company, then it will be pursued,” she said. |
| “If individuals have broken the law, then they will be pursued. It is unconscionable that anybody would rip money out of a company to avoid paying employee entitlements. | “If individuals have broken the law, then they will be pursued. It is unconscionable that anybody would rip money out of a company to avoid paying employee entitlements. |
| “It is equally unconscionable that the Australian taxpayer is then left to foot the bill.” | “It is equally unconscionable that the Australian taxpayer is then left to foot the bill.” |
| The MP for Herbert, Ewen Jones, broke down during a media conference with Cash, after saying it was “a tough day” for QN workers, “even though this is a great announcement”. | The MP for Herbert, Ewen Jones, broke down during a media conference with Cash, after saying it was “a tough day” for QN workers, “even though this is a great announcement”. |
| “This is a tough day in Townsville because this says this is the end of the line for a lot of these people,” Jones said. | “This is a tough day in Townsville because this says this is the end of the line for a lot of these people,” Jones said. |
| Brendan O’Connor, the opposition spokesman for industrial relations, accused Jones of “crocodile tears”, claiming the government had “been sitting on their hands not providing any relief for workers”. He said the government was acting now only after calls by Labor and the role of the media in highlighting the plight of QN workers. | Brendan O’Connor, the opposition spokesman for industrial relations, accused Jones of “crocodile tears”, claiming the government had “been sitting on their hands not providing any relief for workers”. He said the government was acting now only after calls by Labor and the role of the media in highlighting the plight of QN workers. |
| O’Connor said that where some long-term QN staff would be “getting in excess of 100 weeks of entitlements pursuant to their redundancy packages”, both Jones and Cash had previously voted in parliament to cut the FEG scheme down to 16 weeks of entitlements . He called on the government to abandon those proposed amendments, which were still before the Senate. | O’Connor said that where some long-term QN staff would be “getting in excess of 100 weeks of entitlements pursuant to their redundancy packages”, both Jones and Cash had previously voted in parliament to cut the FEG scheme down to 16 weeks of entitlements . He called on the government to abandon those proposed amendments, which were still before the Senate. |
| QN’s likely liquidator, FTI Consulting, has said the company’s total debts to creditors could reach about $300m. | QN’s likely liquidator, FTI Consulting, has said the company’s total debts to creditors could reach about $300m. |
| Cash said the government had historically been “loath” to join court action around corporate failures and had never before sought a special purpose liquidator, to which it has always been entitled under the Corporations Act when it is a creditor. | Cash said the government had historically been “loath” to join court action around corporate failures and had never before sought a special purpose liquidator, to which it has always been entitled under the Corporations Act when it is a creditor. |
| She said it wanted to send a very clear message with this “unusual step”. | She said it wanted to send a very clear message with this “unusual step”. |
| “In appropriate cases, [the government] is prepared to step in and ensure that employee entitlements are recovered in full from any companies who profited from the endeavours of hardworking Australians,” she said. | “In appropriate cases, [the government] is prepared to step in and ensure that employee entitlements are recovered in full from any companies who profited from the endeavours of hardworking Australians,” she said. |
| “It is disgraceful that Queensland Nickel has abandoned its workforce and not made arrangements to pay employee entitlements.” | “It is disgraceful that Queensland Nickel has abandoned its workforce and not made arrangements to pay employee entitlements.” |
| Cash said a “viable enterprise has been run into the ground by its managers”. | Cash said a “viable enterprise has been run into the ground by its managers”. |
| The Australian Workers’ Union says many workers have had no income since January, when the first of 787 workers lost their jobs at the QN refinery in Townsville. | The Australian Workers’ Union says many workers have had no income since January, when the first of 787 workers lost their jobs at the QN refinery in Townsville. |
| The secretary of the union’s Queensland branch, Ben Swan, said the federal payments would be welcomed by desperate families, but the focus must also be on ensuring workers got everything they were owed. | The secretary of the union’s Queensland branch, Ben Swan, said the federal payments would be welcomed by desperate families, but the focus must also be on ensuring workers got everything they were owed. |
| Creditors are due to vote next week on a recommendation by QN’S administrators, FTI Consulting, to wind up the company. | Creditors are due to vote next week on a recommendation by QN’S administrators, FTI Consulting, to wind up the company. |
| In a damning report released this week, FTI alleges that Palmer had acted as a shadow director of the company, alongside the sole appointed director, his nephew Clive Mensink. | In a damning report released this week, FTI alleges that Palmer had acted as a shadow director of the company, alongside the sole appointed director, his nephew Clive Mensink. |
| FTI further alleges that Palmer used the company as a “piggy bank” to fund his other business interests, and of the possibility of prosecution under the Corporations Act that could expose the MP and his nephew to criminal charges. | FTI further alleges that Palmer used the company as a “piggy bank” to fund his other business interests, and of the possibility of prosecution under the Corporations Act that could expose the MP and his nephew to criminal charges. |
| Palmer has said he is looking forward to going to court to prove he did not act as a shadow director. He has labelled the FTI report derogatory and untrue, and has denied acting as a shadow director, arguing that he was entitled to control QN spending as chairman of a joint venture committee directing the operation of the refinery with “no assets or income” of its own. | Palmer has said he is looking forward to going to court to prove he did not act as a shadow director. He has labelled the FTI report derogatory and untrue, and has denied acting as a shadow director, arguing that he was entitled to control QN spending as chairman of a joint venture committee directing the operation of the refinery with “no assets or income” of its own. |
| He says the federal government is pursuing him over unpaid worker entitlements because it wants him out of parliament. | He says the federal government is pursuing him over unpaid worker entitlements because it wants him out of parliament. |
| In announcing the claw-back plan, Cash said it had nothing to do with Palmer’s position as an MP, and everything to do with his business conduct at QN. | In announcing the claw-back plan, Cash said it had nothing to do with Palmer’s position as an MP, and everything to do with his business conduct at QN. |
| But Palmer said that was utter rubbish. | But Palmer said that was utter rubbish. |
| “It can only be for political purposes. Here we have the executive of the federal government ordering the investigation of a political opponent,” he said on Friday. | “It can only be for political purposes. Here we have the executive of the federal government ordering the investigation of a political opponent,” he said on Friday. |
| “Look at the coverage of the Clive Palmer thing in Australia compared with all the other jobs lost [in the resources sector]. There is an election coming up.” | “Look at the coverage of the Clive Palmer thing in Australia compared with all the other jobs lost [in the resources sector]. There is an election coming up.” |
| The government will apply to a court to have Stephen Parbery from PPB Advisory appointed as special purpose liquidator. Parbery was involved in recovery actions after the collapses of Ansett Australia , HIH Insurance and ABC Learning childcare centres. | The government will apply to a court to have Stephen Parbery from PPB Advisory appointed as special purpose liquidator. Parbery was involved in recovery actions after the collapses of Ansett Australia , HIH Insurance and ABC Learning childcare centres. |
| – with Australian Associated Press | – with Australian Associated Press |