NEWSFLASH: ATO issues Winding Up Order to HSG(Jets/Knights)

[KvP]

The Australian Tax Office has moved to wind up the Newcastle Knights and the Newcastle Jets, along with their parent company the Hunter Sports Group, over unpaid debts of some $2.7 million, as owner Nathan Tinkler's debt problems continue to mount.

Documents filed on Wednesday in the Federal Court in Sydney show the Deputy Commissioner of Taxation is applying for the wind-up of Hunter Sports Group (owing $184,258), Newcastle Jets Pty Ltd (owing $1.063 million) and Newcastle Knights Pty Ltd (owing $1.424 million).

The applications have been set down for hearing on February 20.

Advertisement The ATO has moved against a number of Tinkler entities this week, yesterday it moved to continue to wind-up proceedings against Queen St Capital and on Monday became the creditor of one of his main entities Tinkler Group Holdings Administration. The extent of those debts is unknown.

Another two Tinkler companies, Mulsanne Resources and Patinack Farm Administration, are in liquidation.

Last week the former billionnaire’s private jet and helicopter were repossessed as receivers were appointed to his TGHA Aviation.

MORE TO COME

http://www.smh.com.au/business/27-milli ... 2bb7w.html

Should the FFA be worried?

[bpowell454]

Disappointing that something like this is happening to the 2nd biggest club- members wise.

FFA would have to buy it out and take control. Although would they have to take on the debt too or could they just let it die and reboot as the new Newcastle Jets?

[KvP]

Disappointing that something like this is happening to the 2nd biggest club- members wise.

FFA would have to buy it out and take control. Although would they have to take on the debt too or could they just let it die and reboot as the new Newcastle Jets?

I'm no insolvency guru, but I imagine the FFA could take posession of the honours of the Jets and if the corporate entity that was the NUJFC died, they could 'award' those honours to a replacement entity thereby ensuring for all intents and purposes continuity for the fans of the Jets. The New TV deal should make finding new investors or turning the club over to the fans a much easier proposition. Wages being the #1 overhead of the club.