Crumbs from the table ... More fiddles and diddles exposed as Scott Roulstone's bankruptcy trustee issues a preliminary report ... Incredibly bloated trust and super funds plus loaded wife ... Report in full
Roulstone: sale of the BMW of no benefit to creditors
HERE we go again. After a preliminary examination the trustee's report for the third of the Keddies amigos has just gone to his creditors.
Scott Roulstone was up to all the usual slights-of-hand to defeat his creditors - last minute shuffling of money into the super fund and family trusts, while at the same time Mrs Roulstone is loaded with property and other baubles.
I hope none of the Keddies' wives feel it's time to dump their endearing hubbies and move on.
Rod Sutherland from insolvency firm Jirsch Sutherland says he's looking into Roulstone's potentially voidable transactions.
These include $1,067,350 transferred to the Roulstone super fund in the last five years, specially $500,000 this year and $1.2 million shifted to the Roulstone Family Trust in May to settle a "debt" to the trust.
Sutherland said he's seeking a freezing order on the trust's assets, the super fund and a Bank of New Zealand account.
Roulstone received over $10 million from the sale of the Keddies partnership to Slater & Gordon. Those funds were used to:
- Offset the mortgage on a property of his wife;
- Repay personal loans to other creditors;
- Make payments to Keddies partnership for legal costs and funding client settlements;
- Contribute to his super fund and family expenses.
- Some or all of those payments may also be void.
Scotty said in his statement of affairs that he "may have assisted" Mrs R to purchase their $9 million Edgecliff Road, Woollahra, pile in 2005-2006. The home ostensibly was sold in December last year for, would you believe it? - $9 million.
The Roulstones are currently renting around the corner in Attunga Street, Woollahra, for $2,500 a week.
There could be something fishy about the house sale. Sutherland said:
"My investigations are continuing into the Woollahra property, in particular to determine whether the property is currently held on trust for the bankrupt by way of constructive or resulting trust."
All that the trustee has to hand, so far, is $9,500 from Scott's bank account.
Apart from the likely voidable transactions there is maybe abother $1 million is shares that could also be realised, mainly in Slater & Gordon Ltd, plus a few bob in AMP Ltd.
There's $16.4 million worth of unsecured creditors, principally former Keddies' clients who successfully sued the firm for overcharging.
Roulstone's statement of affairs indicated there was $11.5 million in overcharged fees claims. Stephen Firth, acting for the former clients puts the fugure at $13 million.
In today's Sydney Morning Herald (August 30) Kate McClymont says that among the many assets in the name of Mrs Kathryn Roulstone (domestic duties) is a seven bedroom beachfront home at Hyams Beach, Jervis Bay, which during the peak season rents for $9,500 a week.
Roulstone and his former partners Russell Keddie and Tony Barakat between them have sufficient assets at their disposal to pay out all their creditors 100 cents in the dollar.
Because these people are cheats and chisellers that won't be happening. The Law Society and the Legal "Services" Commissioner continue to twiddle their thumbs.
Sources
Trustee's first report to creditors of Scott Roulstone's bankrupt estate
Scott Roulstone's statement of affairs
See also