Rebl Corp collapse: Govt silent on calls for public probe
A PUBLIC examination has been recommended into failed media company Rebl Corp as government investigations continue into its business model.
Rebl Corp's subsidiaries Media Rebl and Digital Rebl were placed into the care of Worrells in March this year in a voluntary liquidation and, according to the creditor's report, their assets total just $30,219.
That figure is dwarfed by the combined $2.3m they owe to unsecured creditors.
Media Rebl also owes a total of $186,575 in wages and superannuation to five employees.
In a report to creditors in May, liquidator Dane Hammond recommended a public examination in which witnesses would be called to testify under oath about the company.
READ MORE: The true cost of Rebl Corp collapse revealed
He estimated the examination to cost between $45,000 and $50,000, but yesterday told the Daily the "time frame for creditors to express interest in funding the proposed examinations has closed".
"We are currently assessing the position and the options available," he added.
It's unclear whether the state or federal governments are willing to put funds towards the examination.
Queensland Premier Annastacia Palaszczuk and the Federal Member for Fisher, Andrew Wallace were asked if they would offer support, but did not respond by deadline.
Should the government fund a public examination into the Rebl Corp collapse?
This poll ended on 31 August 2019.
Only if it gets results
No, waste of money
This is not a scientific poll. The results reflect only the opinions of those who chose to participate.
The company's director Michael Maunder was contacted for comment, but also did not respond.
According to the report, Mr Maunder attributed the insolvency to inadequate working capital and financial management, trading losses and discontinued support by third-party financiers.
Rebl Corp's "free" social media package involved the company leasing its customer relationship management software to Media Rebl's customers (small business owners) through a third-party leasing finance company.
When a client obtained a lease package, Rebl Corp was paid a one-off bulk payment by a finance company and then Digital Rebl would pay the monthly cost of the lease to the client.
The contracts signed by Rebl Corp's clients absolved the company of paying the monthly amount should they collapse.
Small business owners impacted are fearful they will have to pay back the remainder of the contracts, which range from $15,000 to $33,000.
Investigations are under way by the Australian Small Business and Family Enterprise Ombudsman and the Australian Financial Complaints Authority.
An AFCA spokeswoman said its investigation was "ongoing".