Orford Refrigeration Pty LTD (In Liquidation) - Report To Creditors - October 2011

PILOT PARTNERS
Chartered Accountants
LevelS, 175 EagLe St. Brisbane 4000
PO Box 7095 Brisbane 4001
Queensland Australia
P +61 7 3023 1300
F +61 7 3229 1227
pilotpartners.com.au
Orford Refrigeration Pty Ltd (In Liquidation)
ACN 009 790 265
Formerly trading as
"Orford Refrigeration" and "Orford Sign Shop"
("Orford Refrigeration")
Report to Creditors
ABN 60 063 687 7691 pilot is a registered trade mark licensed to Pilot Partners! Liability limited by a scheme approved under Professional Standards Legislation
Mcmbllf of Nexia International, a network oflndepcndent accounting il:od consulting firms.
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Contents
1. MEETING OF CREDITORS ......................................................................................................................... 5
2. BACKGROUND INFORMATION ............................................................................................................... 5
2.1. History of the Company ............................................................................................................................ 5
2.2 Orford Sign Shop ("Sign Shop") .......................................................................................................... 6
2.3 Changes in Company Officers and Members .................................................................................. 6
2.4 Related Parties .............................................................................................................................................. 8
2.5 Subsidiaries .................................................................................................................................................... 9
3. REPORT AS TO AFFAIRS ........................................................................................................................... 9
4. BOOKS AND RECORDS OF THE COMPANY ..................................................................................... 1 4
5. LIQUIDATORS' DUTIES AND INVESTIGATIONS ........................................................................ 15
5.1 Matters Attended to by the Liquidators ......................................................................................... 15
5.2 Liquidators' Investigations to Date .................................................................................................. 16
5.3 Reasons for the Company's Failure .................................................................................................. 17
5.4 Related Party Loans ................................................................................................................................. 17
5.5 Sale of Intellectual Property ................................................................................................................ 18
5.6 The Company's Activities in China .................................................................................................... 19
5.7 Maureen Orford .......................................................................................................................................... 20
5.8 Chilimint Pty Ltd ("Chilimint") ............................................................................................................ 20
5.9 Orford Bros Pty Ltd ATF Orford Logistics Trust ("Orford Bros") ....................................... 21
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5.10. Unfair Preferences (Section 588FA) ................................................................................................ 22
5.11. Possible Public Examination ................................................................................................................ 22
6. INSOLVENT TRADING ............................................................................................................................. 22
7. RECOVERY FROM DIRECTORS ............................................................................................................. 25
8. RECEIPTS AND PAYMENTS ................................................................................................................... 26
9. LIKELY RETURN TO CREDITORS ........................................................................................................ 26
10. LIQUIDATORS' REMUNERATION ....................................................................................................... 27
11. FINALISATION OF THE LIQUIDATION ........................................................................................... 27
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Annexures
Notice of Meeting of Creditors (Form 529)
Proxy Form (Form 532)
Proof of Debt Form (Form 535)
Summary of Receipts and Payments
Remuneration Report
Appendices
A. List of Creditors
B. Listing of Intellectual Property
C. Historical Profit and Loss Statements
D. Historical Balance Sheets
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ACN 009 790 265
Formerly trading as "Orford Refrigeration" and "Orford Sign Shop"
Report to Creditors
We refer to our Report to Creditors dated 10 May 2011 and now provide creditors with an update
on the winding up to date.
1. MEETING OF CREDITORS
1.1 We advise that the meeting of creditors for the abovenamed company will be held at the
Downs Room, Burke & Wills Hotel, 554 Ruthven Street, Toowoomba Qld 4350 on 31
October 2011 at l1:OOam.
1.2 The following documents are enclosed for your attention:
Notice of Meeting;
Form 532 - AppOintment of Proxy; and
Form 535 - Formal Proof of Debt or Claim.
1.3 You do not have to attend this meeting and your non-attendance will not affect the
validity of your claim against the company. We will continue to keep you updated as to
the progress of the administration.
1.4 Should you wish to appoint some person or the chairman to vote at the meeting on your
behalf please complete the attached Proxy Form (Form 532).
1.5 If you have not already done so, please complete the attached Proof of Debt Form (Form
535) and return same to our office prior to the meeting, together with copies of the
necessary supporting documentation (eg. invoices, statements, contract details, etc.) to
support your claim. The Proof of Debt Form will be used for the purposes of voting at the
aforementioned meeting. Please note that you are only required to submit a Form 535 if
you have not already done so.
1.6 It is important that the completed Proxy Form and the Formal Proof of Debt Form
(if applicable) are forwarded to our office (on or before 28 October 2011). This
can be done by facsimile, post or delivery and will minimise any delay with the
commencement of the meeting.
2. BACKGROUND INFORMATION
2.1. History of the Company
2.1.1 As previously advised in our report to creditors dated 10 May 2011, the company
operated as a manufacturer of commercial refrigeration products. The business operated
by the company spanned four generations and had its origins in 1922 from its current
premises located at 75 Vacy Street, Toowoomba, Queensland.
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2.1.2 The company was incorporated on 23 June 1969 as Orford Pty Ltd and subsequently
changed its name to Orford Refrigeration Pty Ltd on 19 July 2000. We are advised that
Ian Orford acquired John Orford's share of the business in 2001.
2.1.3 Orford Refrigeration Pty Ltd became the trustee for the Orford Family Trust on 1 July
1977. The trust deed was varied on 30 April 2003 to remove Orford Refrigeration Pty Ltd
as trustee and appoint Commercial Icemakers Pty Ltd as the new Trustee.
2.1.4 The current directors, Corby and Liam Orford, commenced work in the family business in
2002 and were both appointed as directors of the company on 19 September 2008 when
they acquired a majority stake in the business from their late father.
2.1.5 Both Corby and Liam Orford have controlled the company's affairs since September 2008.
2.1.6 Prior to being appointed as the managing director, Corby Orford held a number of
positions in the business, including human resources manager, operations manager and
sales manager. Liam Orford held the positions of the information technology manager
and Orford Sign Shop general manager prior to being appointed as the executive director.
2.2 Orford Sign Shop ("Sign Shop")
2.2.1 Orford Refrigeration also carried on a sign business under the business name "Orford Sign
Shop" which produced vinyl decals and performed screen printing services from the Vacy
Street premises. Its operations ceased along with those of Orford Refrigeration upon our
appointment. While the Sign Shop's main business was producing decals for the
company's refrigeration cabinets, work was also sourced beyond the company with the
Sign Shop producing vinyl decals, transfer prints and promotional street and building
signage for both regular and one-off customers.
2.2.2 Our review of the companys' books and records indicate that the Sign Shop had been
successful in securing the business of a number of significant customers including
Cad bury Schweppes, Coca Cola Amatil and Wanless, in addition to Orford Refrigeration
itself.
2.2.3 The Sign Shop was not accounted for separately in the company's books and records. Our
investigations show that there was an intention to account separately for the Sign Shop's
activities, but this was never implemented. The Sign Shop did not hold a significant
amount of assets and utilised a relatively small number of employees in its operations.
Due to the scale of the business and the inherent complications of its accounting records,
we do not intend to reconstruct the accounts of the Sign Shop.
2.3 Changes in Company Officers and Members
2.3.1 A search with the Australian Securities and Investments Commission ("ASIC") reveals the
following past and present directors of the company:
Name Appointment Date Cease Date
Corbv An n 0 rford 19 September 2008 Present director
Liam Francis Orford 19 September 2008 Present di rector
Ian Francis Orford 1 July 1969 19 September 2008
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Name Appointment Date Cease Date
Corby Ann Orford 19 September 2008 Present director
Maureen Merle Orford 6 May 2003 28 September 2004
Maureen Merle Orford 23 February 1988 9 May 2001
Maureen Merle Orford 1 June 2008 19 September 2008
Dean Cameron Orford 9 May 2001 1 June 2008
Gary Charles Fitzgerald 20 February 2002 1 June 2008
Corby Ann Orford 6 June 2003 1 June 2008
Liam Francis Orford 6 June 2003 1 June 2008
Brendan Scott Graham 28 September 2004 1 June 2008
John Henry Orford 1 July 1969 6 May 2003
Mark Joh n Orford 9 May 2001 6 May 2003
Glenda Orford 23 February 1988 9 May 2001
Eric Georqe Orford 1 Julv 1969 24 November 2000
2.3.2 We note that there are currently 15,010 ordinary shares on issue. A search with ASlC
reveals the following past and present members of the company:
Member Name Number of Holding as percent Current or Former
Shares Held of issued shares Member
lM Realty Pty Ltd 7504 49.90% Current
John Henry Orford 1 0.10% Current
Chilimint Ptv Ltd 7505 50.00% Current
Maureen Merle Orford 1850 Unknown Former
lan Francis Orford 5655 Unknown Former
Glenda Orford 1850 Unknown Former
Glenda Orford 925 Unknown Former
John Henry Orford 2825 Unknown Former
Eric Georqe Orford 5 Unknown Former
Maureen Merle Orford 925 Unknown Former
lan Francis Orford 2825 Unknown Former
2.3.3 lM Realty Pty Ltd ("lM Realty")
lM Realty was incorporated on 23 June 1969 as Orford Realty Pty Ltd and subsequently
changed its name to lM Realty Pty Ltd on 4 January 2007. Liam and Corby Orford are the
sole directors of this company which owns the land at 75 Vacy Street from which Orford
Refrigeration operated. We note that there is a significant inter-company loan between
Orford Refrigeration and lM Realty, which is discussed further in section 5.4 of this report.
2.3.4 Chilimint Pty Ltd ("Chilimint")
Chilimint was incorporated on 19 September 2008. Liam and Corby Orford are both
directors and have equal shareholdings.
The relationship between Chilimint and Orford Refrigeration is discussed further at section
5.8.
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2.4 Related Parties.
2.4.1 There are a number of related individuals and entities, some of which have had dealings
with the company in recent years. The following table outlines the relationship between
these parties:
Related Partv Relationshio Directors Secretary
Chilimint Pty Ltd Associated entity, member Corby Orford Corby Orford
Uam Orford
IM Realty (Formerly Orford Associated entity 1 member Corby Orford None
Realtv Ptv Ltd Liam Orrord
Orford (IP) pty Ltd Associated entity Corby Orford Liam Orford
Liam Orford
Orford Asset Management pty Ltd Associated entity Corby Orford Liam Orford
Liam Orford
Orford Bros. Pty Ltd Associated entity I lan Orford (deceased) lan Orford
subsidiary Maureen Orford (deceased)
Corby Orford
Liam Orford
Gary Fitzgerald
Brendan Graham
Dean Orford
Orford Logistics Pty Ltd Associated entity Corby Orford Liam Orford
Liam Orford
Dean Orford
NZ Pty Ltd (incorporated in Associated entity I Dean KcKinlay Dean McKinlay
NZ subsidiarY Corbv Orford
Orford Sales Pty Ltd Subsidiary lan Orford (deceased)

deceased
Orford WA Pty Ltd Associated entity Corby Orford Corby Orford
Liam Orford
Roderick Abif pty Ltd Associated entity Corby Orford Liam Orford
Uam Orford
Roderick Abif 1 pty Ltd Associated entity Corby Orford Liam Orford
Liam Orford
Liam Orford
Roderick Abif 3 Pty Ltd Associated entity Corby Orford Liam Orford
Liam Orford
Liam Orford
Roderick Abif 5 Pty Ltd Associated entity Corby Orford Liam Orford
Liam Orford
Sailnurse Ptv Ltd Associated entity Corbv Orford Corbv Orford
Sailnut Ptv Ltd Associated entity Liam Orford Liam Orford
The Estate of lan Orford (Deceased) Father of Dean, Liam and
Corbv Orford
John Orford Brother of lan Orford
Maureen Orford Mother of Dean, Liam and
Corbv Orford
Dean Orford Brother of Liam and Corby
Orford
Corby Orford Director of Orford
Refrineration
Liam Orford Director of Orford
Refriaeration
Mark Orford Cousin of Dean, Liam and
Corbv Orford
Paul Orford Cousin of Dean, Uam and
Corbv Orford
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2.4.2 For further details on the company's subsidiaries identified above, please refer to section
2.5 below.
2.5 Subsidiaries
2.5.1 Orford Bras Pty Ltd ("Orford Bras") as Trustee for the Orford Logistics Trust
Orford Refrigeration owns all the issued shares of Orford Bras which is the trustee of the
Orford Logistics Trust. We have been advised by the directors that this company was in
the process of being liquidated.
Our investigations have revealed this company currently has a bank account with a
balance of $40,859.09, the bulk of which was transferred fram Orford Refrigeration prior
to our appointment. Please refer to section 5.9 for further details of our investigations to
date.
2.5.2 Orford Sales Pty Ltd ("Orford Sales")
Orford Refrigeration currently holds all of the shares of Orford Sales Pty Ltd. Corby and
Liam Orford have advised that this company has been dormant for some time. The
company's sole director and secretary, Mr ran Orford passed away in 2008. Asrc has
advised us that matters relating to this company should be referred to the executor of ran
Orford's deceased estate, who we believe to be Liam and Corby Orford.
Ou r investigations have not identified any assets owned by this company.
2.5.3 Orford NZ pty Ltd ("Orford NZ")
Orford Refrigeration currently holds 7 shares, or 70% of Orford NZ, which was
incorporated in NZ. The directors are Corby Orford and Dean McKinlay.
This company was previously the Orford Refrigeration distributor in New Zealand. The
distributorship was subsequently allocated to an independent contractor in New Zealand.
The directors have advised that the company has been dormant since March 2010 and
was in the process of being wound down upon our appointment.
Our investigations have not identified any assets owned by this company.
3. REPORT AS TO AFFAIRS
3.1 The directors submitted to us a Report as to Affairs ("RATA") on 8 June 2011 and 10 June
2011, respectively. The report sets out the company's financial position to the best of the
directors' knowledge and belief as at 6 May 2011. This document can be inspected at our
office.
3.2 The report may be summarised as follows:
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Notes:
(i)
Liam & Liam &
Corby Corby Liquidators'
Orford's Orford's ERV
Note Book Value Estimated
$
$ Realisable
Value "ERV"
$
Assets
Cash on Hand (i) 5,100 5,100 1,653
Cash at Bank (ii) Nil Nil Nil
Debtors (iii) 848,855 Unknown 3,500,000
Related Party Loans (iv) Nil Nil Unknown
Plant & Equipment (v) 3,979,100 Unknown 1,200,000
Stock/Finished Goods on Hand (vi) 5,810,230 Unknown 635,000
Work in Progress (vii) 23,260 Unknown Nil
Shares in Subsidiaries (viii) Nil Nil 40,000
Intellectual Property (ix) Nil Nil Unknown
Assets SpeCifically Charged (x) 9,054,835
19,721,380 Unknown 5,376,653
Liabilities
Secu red Creditors (xi) 7,562,527 7,562,527 8,056,277
Employee Entitlements (xii) 1,597,568 1,597,568 2,684,003
Unsecured Creditors (xiii) 9,853.777 9,853.777 12,292,870
19,013,872 19,013,872 23,033,150
Net Surplus/(Deficiency) (707,508) Unknown (17,656,497)
Cash on Hand
The directors disclosed cash on hand of $5,100 as at the date of our appointment. We
recovered $652.50 from various petty cash tins at the company premises and $1,000
from a sales employee being the balance of their float.
(ii) Cash at Bank
As at the date of our appointment the company held a bank account with Westpac
Banking Corporation Limited ("Westpac") with a credit balance of $367,413.18. The
account was frozen shortly after our appointment.
Our review of the bank statements reveal that $362,600 of the funds in the bank account
were drawn from the company's debtor finance facility with Westpac prior to the
liquidation. Westpac holds a fixed charge over this facility and has applied the full balance
of this account against facilities it has with the company.
(iii) Debtors
As at the date of our appointment, the company's books and records show debtors of
$4,615,913. Below is a summary of the results of our realisations to date:
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Factored Unfactored Total
$ $ $
Total debtors per company's records 4,436,043 179,870 4,615,913
Less:
Total debtors collected by Liquidators 2,991,219 86,906 3,078,125
Offsets/Adjustments 854,160 3,308 857,468
Balance due 590,664 89,656 680!320
A number of the company's former staff were retained by the Liquidators to assist with
the collection of the company's debtors and maintain the company's accounting system.
We have encountered difficulties with the collection of some debtors given the company is
not in a position to honour its warranty obligations. Unreasonable or difficult debtors have
been referred to either a debt collection agency or our solicitors for further action. We will
continue to pursue the outstanding debtors.
The debtor finance facility with Westpac has now been repaid in full. The bank is of the
view that the remaining factored debtors, which were effectively sold to the bank
pursuant to the debtor facility agreement are to be paid to the bank to offset other
facilities it has with the company.
(iv) Related Party Loans
The company's records reveal the following related party loans as owing to the company
as at 31 March 2011:
Related Party Amount
$
Ian Orford (deceased) 184282
Mau reen Orford 20361
Orford NZ Pty Ltd 114,651
Orford WA Pty Ltd 15,353
Orford LogistiCS Trust 256625
IM Rea Itv Ptv Ltd 3489 956
Dean Orford 22471
Liam Orford 24894
Total Related Party Loans $4,128,593
These loans are discussed in further detail at section 5.4 of this report.
(v) Plant & Equipment
The directors disclosed the company owned plant & equipment with a book value of
$3,979,100, consisting of a wide range of manufacturing and assembly equipment, office
furniture and equipment and motor vehicles.
GraysOnline ("GraysOnline") have been engaged as our agent to assist with the asset
realisation process. Gross sale proceeds of $1,581,403 have been received by our office to
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date. We anticipate further proceeds from future auctions to be forthcoming over the next
two months.
All proceeds from sale of the company's plant and equipment are subject to the fixed and
floating charge held by Westpac.
(vi) Stock/Finished Goods on Hand
The directors disclosed stock on hand with a book value of $5,810,230 as at the date of
our appointment. A stocktake was undertaken shortly after our appointment to ascertain
the value of stock and finished goods on hand.
We note that a significant portion of the stock on hand was subject to retention of title
claims by creditors. We have undertaken a review of all claims and where valid, have
facilitated the identification and collection of encumbered stock. There remains one
retention of title claim which is yet to be settled. This claim is currently with our solicitors.
Transport companies holding a significant portion of finished goods at their storage depots
around Australia have claimed a lien over goods held for debts owing to them. We have
reviewed the supporting documentation provided to ascertain the validity of the lien claim.
Realisation of these goods will commence in due course with an accounting of the sale
proceeds to be provided to ou r office.
To date we have realised $320,736.64 from finished goods and $172,822 from stock.
Further realisations from finished goods and stock are expected over the next three to
four months.
(vii) Work in Progress
The company's work in progress consists of partially finished refrigeration units. The
directors disclosed work in progress with a book value of $23,260 as at the date of our
appointment.
GraysOnline have been selling these items as spare parts along with the stock on hand
discussed above.
(viii) Shares in Subsidiaries
The directors did not disclose shares held by the company in their RATAs, however our
investigations of the company's financial accounts and searches at ASIC reveal that the
company holds shares in the following subsidiaries:
Entity No. of Shares 0/0 of Shares
Held Held
Orford Bros Pty Ltd 1000 100%
Orford Sales Pty Ud 1000 100%
Orford NZ Pty Ltd (incorporated in New Zealand) 7 70%
The current value of the shares held are unknown, however due to some of the companies
being dormant with limited realisable assets (refer to section 2.5 above), we expect the
value of these shares to be minimal, if any.
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(ix) Intellectual Property (nIP")
The company's intellectual property was sold to a related entity, Roderick Abif Pty Ltd,
prior to the company being placed into liquidation. Please refer section 5.5 of this report
for further information.
(x) Assets Specifically Charged
The directors have indicated assets specifically charged of $9,054,835, however they have
not indicated which asset classes this relates to. We understand the majority of this
amount relates to the debtors financed by Westpac and plant and equipment subject to
specific finance agreements with Westpac.
(xi) Secured Creditors
Westpac holds two fixed and floating charges and various fixed charges over the assets of
the company. As at the date of our appointment, Westpac was owed $8,056,277. The
bank's fixed portion of their charge receives priority to the claims of employee and
unsecured creditors.
At this stage it appears that there are insufficient assets to satisfy the bank's charge in
full.
It should be noted that Section 561 of the Act affords employee claims employee claims a
priority over floating charge realisations (Le. unfactored debtors and stock).
(xii) Employee Entitlements
Employee claims are afforded priority over claims by unsecured creditors pursuant to
Section 556 of the Corporations Act 2001 ("the Act").
As at the date of our appointment the company employed approximately 180 staff. The
company ceased to employ staff as at the date of our appointment. A summary of the
outstanding entitlements owing to employees as at the date of our appointment and
entitlements paid by GEERS to employees is below:
Company's Paid by Balance
Employee Entitlements Records GEERS Owing
$ $ $
Wages 125,004 105,089 19,915
Superannuation 199,219 Nil 199,219
Annual Leave (incl leave loading) 457,345 401,393 55,952
Payment in Lieu of Notice 404,196 354,312 49,884
Redundancy 983,361 877,887 105,474
Long Service Leave 514,878 484,736 30,142
Total 2,684,003 2,223,417 460,586
The above does not include employee entitlements owing to the directors, Corby and Liam
Orford. We understand both directors were remunerated by Orford Bros Pty Ltd as Trustee
for the Orford Logistics Trust.
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We note that redundancy claims of some employees were partly or wholly rejected by
GEERS as apprentices are excluded from receiving redu ndancies and employees with no
employment contracts were assessed in accordance with the National Employment
Standards (NES) which does not provide for redundancy entitlements.
Pursuant to Section 556 of the Act, unpaid superannuation is afforded the same priority
as unpaid wages. The Deputy of Commissioner of Taxation is yet to submit a claim in
regard to unpaid superannuation and the superannuation guarantee charge. We have
however forwarded the relevant details to the ATO so they may lodge a claim. It should
be noted that should sufficient funds become available to enable a dividend to priority
unsecured creditors, any payment made to the ATO in respect of superannuation will be
distributed by the ATO to the relevant superannuation funds.
At this stage, it is uncertain if there will be a return to employees.
(xiii) Unsecured Creditors
There are presently 321 claims by unsecured creditors for debts totalling $12,292,870, as
follows:
Trade Creditors
Related Entities
Total Unsecured Creditors
$9,230,297
$3,062,574
$12,292,870
The exact amount due to unsecured creditors will not be determined until such time as all
creditors have lodged their Proof of Debt in the administration, and we have completed
the process of adjudication.
A list is attached as Appendix A.
4. BOOKS AND RECORDS OF THE COMPANY
4.1 We have obtained a significant amount of the company's books and records from the
directors and the company's offices and have conducted investigations into the trade
dealings and affairs of the company and its officers.
4.2 The company uses a system called MFG Pro, which we have been advised is a common
program for manufacturing businesses. Whilst this system is beneficial for the
manufacturing aspect of the business, its accounting capabilities are somewhat
cumbersome. The system is not user-friendly and has made extracting information for the
purposes of our investigations somewhat protracted.
4.3 We have gained remote access to the company's server and system at the Orford
premises however the server which the system operates from is subject to a retention of
title claim by a creditor. We are currently looking into options available to retain access to
the system until such time as our investigations are finalised.
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5. LIQUIDATORS' DUTIES AND INVESTIGATIONS
5.1 Matters Attended to by the Liquidators
5.1.1 Since our appointment the following matters have been attended to:
Met with the company's directors and advisors.
Undertaken an assessment of the company's financial position and determined it's
inability to continue trading.
Secured the premises, including changing of all locks, liaising with security companies
and restricting access by external parties.
Secured the assets of the company.
Arranged specialist insurance for the company's assets.
Advised employees of their termination and liaised with them, and their
representatives, regarding the necessary paperwork to enable them to submit claims
under GEERS.
Liaised with the company's major secured creditor, Westpac, in regard to the financial
position of the company and the assets subject to the bank's security.
Engaged Grays Online to prepare a listing and valuation of the company's plant and
equipment, stock and finished goods.
Conducted a stock take.
Investigation into assets held by third parties including laptops, mobiles, units on
consignment, vehicles and goods held under retention of title clauses.
Investigation into and securing access to the company's accounting and IT systems.
Liaised with the company's major customers in regard to stock on hand and in
production at the date of liquidation.
Liaised with various creditors regarding retention of title claims over goods supplied to
the company prior to the date of liquidation, including identifying goods and
adjudicating retention of title clauses.
Attending to the identification, evidencing and facilitating of the removal of third-party
goods and equipment on site.
Attending to the collection of the outstanding debtors (both factored and non-factored)
and, where appropriate, referring matters to either a debt collection agency or
solicitors.
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Instructed and liaised with Grays Online in regard to the sale of various company
assets.
Liaised with GEERS in regard to claims and queries regarding employee entitlements
as well as the calculation, verification and distribution to employees of GEERS funds.
As creditors are aware, some Orford employees were retained to assist the Liquidators
with the following matters;
liaising with potential employers;
liaising with Child Support and Workers' Compensation;
calculating outstanding employee entitlements as at the date of liquidation;
collection of debtors;
reconciling the creditor and debtor ledgers as at the date of liquidation;
undertaking a stock take to determine stock on hand and to identify goods
which may be subject to retention of title claims; and
assisting GraysOnline with the identification of plant, equipment and
machinery.
Undertaken investigations into the company's affairs and activities to identify matters
which may require further investigation, such as:
sale of the company's IP and activities in China;
the timing of the company's insolvency;
payments to creditors in the months just prior to liquidation, which may be
void;
transactions with related party, which may be void; and
possible offences and breaches of duty by the company's officers.
Convened and held a meeting of creditors in Toowoomba.
Liaised with parties interested in the company's intellectual property, in the event the
sale to Roderick Abif Pty Ltd is void.
Lodgement of all statutory documents and notices regarding the administration.
5.2 Liquidators' Investigations to Date
5.2.1 A report has been lodged with ASIC in accordance with Section 533 of the Act which
outlines the offences that may have been committed by the company's officers. We are
yet to receive ASIC's response.
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5.2.2 If any creditor is aware of matters relating to the past dealings of the company that may
assist us in our investigations, it would be appreciated if they would contact either Ms Liz
Yang or Mr Cameron Woodcroft of this office to discuss these matters further.
5.3 Reasons for the Company's Failure
5.3.1 As previously advised, the directors have identified the decline in orders and the effects of
the Global Financial Crisis as being the key factors which have led to company's failure.
5.3.2 We believe the main reasons for the company's failure:
Inadequate cash flow as goods manufactured were either generating minimal margins
or were produced at a loss. From our review of the company's records, the costs to
produce exceeded the selling prices of several models of cabinets.
Poor economic conditions as a result of the global financial crisis.
The significant reduction in orders from the company's major customer, Coca Cola
Amatil ("Coca Cola").
Strong competition from cheaper import units from China. As Orford's labour and
manufacturing costs were higher, the prices of Orford goods were significantly higher
than imported goods.
5.3.3 The company's available financial statements reflect that the increasing trading losses
significantly eroded the company's position. In 2006 the company had net assets of
$10,717,397.
Year ended Profit (Loss) Net Retained
Before Tax Assets Earnings
$
$
$
30 June 2006 (unaudited) (1 586 206) 10717397 10 317 341
30 June 2007 (audited) (3 730 700) 7558005 7 157 949
30 June 2008 (draft) (3919 364) 3482913 3082857
30 June 2009 (management (1,836,995) 1,645,916 1,245,860
accounts)
30 June 2010 (1,287,801) (326,251) (726,307)
(management accounts)
March 2011 220,376 (538,960) (939,016)
(manaqement accounts)
5.4 Related Party Loans
5.4.1 The company's balance sheet as at March 2011 revealed the following loans owing by
related parties:
17
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Related Party Amount Comments
$
lan Orford 184,282 Enquiries are yet to be made as to whether
(deceased) lan Orford's deceased estate has finalised
and whether this loan is collectable.
Maureen Orford 20,361 Refer 5.7
Orford NZ Pty Ltd 114,651 We are advised this loan is not recoverable
as the company has been dormant since
March 2010. We are yet to receive the
financial accounts relating to this company.
Orford WA Pty Ud 15,353 We note this company was deregistered on
8 September 2011.
Orford Logistics 256,625 Refer 5.9
Trust
lM Realty Pty Ltd 3,489,956 lM Realty has lodged claims against the
company in the amounts of $99,458 and
$1,057,518 for a loan to the company and
for guaranteeing the company's debt to
Westpac, respectively.
We note lM Realty's only asset in the
property from which o rfo rd Refrigeration
had operated. This property is encum bered
to Westpac.
Dean Orford 22,471 Dean Orford has lodged a claim against the
company for approximately $300,000 in
respect of his employment termination
which he claims was agreed with his late
father, lan Orford.
Liam Orford 24,894 Liam Orford has lodged a claim against the
company for a loan made to the company in
the amount of $180,000. No supporting
documentation has been provided to
evidence the loan.
Total $4,128,593
5.4.2 Our investigations are continuing in regard to these related party loans.
5.5 Sale of Intellectual Property
5.5.1 The company's intellectual property consists primarily of both registered and unregistered
patents, trademarks, business names, domain names, drawings and research and
development information.
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5.5.2 On 5 May 2011, the day prior to our appointment, the company's directors entered into a
contract to sell its IP to a related entity, Roderick Abif Pty Ltd ("Roderick Abif
U
). The
directors of Roderick Abif are Corby and Liam Orford.
5.5.3 The IP is an asset of the company which is subject to Westpac's fixed and floating charge.
We note before any of the IP can be sold or transferred to another party, Westpac's
consent and release of its security will be required. We do not believe consent has been
sought from the secured creditor.
5.5.4 The agreement provided that the purchase price was to be determined by a valuation
undertaken by an independent valuer, with the purchase price to be paid over a 2 year
period.
5.5.5 The valuation has now been completed on the assumption that:
no supply agreement with Coca Cola Amatil is agreed; and
the Intellectual Property Licence Agreement with Skope Australia Pty Ltd is excluded.
5.5.6 We have conducted searches at IP Australia of the patents, trademarks and designs which
were subject to the IP sale agreement between Orford Refrigeration and Roderick Abif.
Full details are attached as Appendix B.
5.5.7 Our searches at IP Australia also revealed a number of patents and trademarks which
were not subject to the IP sale agreement between Orford Refrigeration and Roderick
Abif. Please refer to Table 2 of Appendix B.
5.5.8 Our solicitors have advised that the agreement to sell the IP is likely to be an
uncommercial transaction which may be capable of being voided.
5.6 The Company's Activities in China
5.6.1 Our investigations show that Orford Refrigeration has been actively investigating potential
business partners in China since at least April 2006. We have located a report from this
time where unidentified Orford Refrigeration representatives visited at least five different
suppliers of a variety of components including coils, toughened glass, refrigeration
packages and vacuum forming supply and tooling.
5.6.2 Company records from November 2008 show that the company's management had
lengthy discussions regarding importing refrigeration packages from China. At this time,
the board decided that these units should continue to be manufactured in-house. We note
that this decision follows on from legal disputes with a supplier of Chinese-manufactured
refrigeration packages over product quality.
5.6.3 Company records show that Corby Orford intended to travel to China in mid-March 2011
to visit a factory producing food service units. The records indicate that it was planned to
import the units to Australia under the Orford branding. From the records analysed, it is
unclear whether this trip took place.
19
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5.6.4 Records indicate that in August 2010, January 2011 and April 2011 the company had
contacted companies in China and Thailand with intentions to visit their factories and
discuss the supply of various components and refrigeration units.
5.6.5 Our investigations have revealed that in April 2011, several large payments totalling
$80,000 were made to a Chinese manufacturer, Qingdao Haili Commercial Appliances Co.,
Limited ("Haili"). The eVidence in our possession indicates that these payments were for
tooling costs for 31 Coca Cola-specification cabinets. We are continuing to look into the
circumstances surrounding these transactions.
5.6.6 Records also show payments made by the company in April 2011 to Mr Peter Norman,
Corby Orford's husband, as part of a trip he made to China. Correspondence from Mr
Norman between 29 April 2011 and 5 May 2011 discuss the production of refrigeration
cabinets by Haili and enclose pictures of a new factory and refrigeration cabinets under
construction.
5.6.7 In a circular sent by the Orford Group in August 2011, it is noted that "The Orford Group
has accomplished the final set up of their new factory venture in China."
5.6.8 Our investigations into the company's activities in China prior to our appointment will
continue.
5.7 Maureen Orford
5.7.1 Our investigations have revealed that numerous payments totalling $200,000 were made
to Maureen Orford in the weeks leading up to the company being placed into liquidation:
Date
29 April 2011
29 April 2011
29 April 2011
4 May 2011
4 May 2011
4 May 2011
$
$35,000
$47,500
$17,500
$35,000
$47,500
$17,500
$200,000
5.7.2 Our solicitors have issued a demand to Maureen Orford for the above payments to be
repaid. It is our opinion that these payments are void and recoverable by a Liquidator
pu rsuant to section 588FE of the Act.
5.7.3 Subsequent to the demand being issued, our review of the company's bank statements
have revealed further payments totaling $23,000 were made in November and December
2010 to Maureen Orford. Our investigations are continuing to determine whether these
payments are also void and recoverable.
5.8 Chilimint Pty Ltd ("Chilimint")
5.8.1 The directors of Chilimint are Corby and Liam Orford.
20
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5.8.2 Our review of the company's general ledger indicate the following transactions with
Chilimint in the weeks leading up to the company being placed into liquidation:
Date
29 April 2011
4 May 2011
4 May 2011
Details
Payment
Payment
Sale and delivery of 50 refrigeration units at cost
price
Amount
$117,000
$100,000
$163,887
$380,887
5.8.3 The ledger reflects loans by Chillimint totalling $800,000 to the company in August 2009
as well as the above transactions.
5.8.4 We have not located any loan documentation in the company's records or amounts
deposited to or withdrawn from the company's bank accounts which support these
transactions.
5.8.5 Our investigations are ongoing as to basis of the loan and the transactions entered into
just prior to liquidation to determine whether they may be considered uncommercial
pursuant to section 588FB of the Act and recoverable by a liqUidator.
5.9 Orford Bros pty Ltd ATF Orford Logistics Trust ("Orford Bros")
5.9.1 Orford Bros is a wholly owned subsidiary of Orford Refrigeration which we have been
advised has been dormant for quite some time. Orford Bros also the Trustee for the
Orford Logistics Trust.
5.9.2 A review of the company's bank statements indicate that between November 2010 and
May 2011 regular payments exceeding $100,000, and totalling approximately $3.5
million, were paid to Orford Bros.
5.9.3 We have been advised however that these payments are not reflected in the bank
account of Orford Bros. We have requested the Bank trace the destination of these
payments. Our investigations into this matter are continuing.
5.9.4 Our investigations indicate that Corby and Liam Orford received salaries from Orford Bros
up to the financial year ended 30 June 2010.
5.9.5 We are aware that Liam, Corby and Maureen Orford resigned as directors of Orford Bros
Pty Ltd on 4 August 2011.
5.9.6 The company's March 2011 management accounts reflect a loan owing to the trust of
$256,625.
5.9.7 Our investigations are continuing in regard to the basiS of the loan and recipients of the
payments made to Orford Bros.
21
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5.10. Unfair Preferences (Section S88FA)
5.10.1. An unfair preference is received by a creditor of a company if:
(a) by entering into a transaction the creditor receives more from the company than
they would receive if the transaction was set aside and the creditor was to prove for
their debt in the winding up of the company, and
(b) the transaction was entered into at a time when the company is insolvent or as a
result of entering into the transaction becomes insolvent.
5.10.2. A Liquidator is able to recover unfair preferences received by creditors during the six
month period (four years if the payment was made to a related entity) ending on the
relation back date.
5.10.3. We have conducted a review of the transactions entered into by the company during the
six month period prior to the relation back day, being 6 May 2011.
5.10.4. Based on the records available to us, we have identified potential transactions totaling
$2,637,000 which may constitute unfair preferences. Further investigation is required
before we are in a position to issue demands in respect of these transactions and assess
the likely recovery.
5.10.5. It should be noted that legal action may be required in perusing recovery of these
transactions.
5.11. Possible Public Examination
5.11.1. There are numerous matters outlined in this report which require further explanation
and investigation. One option available to the liquidators is to make an application to the
Court to publically examine the directors, officers and key staff in respect of the
company's affairs pursuant to section 596B of the Act. Such examinations have been
found to be useful in order to obtain further records or explanations regarding
transactions entered into by the company.
5.11.2. We would not propose to conduct such an examination until such time as we have
finalised our investigations and considered further the alleged voidable transactions.
6. INSOLVENT TRADING
6.1 Section 588G of the Act provides that a director has a duty to prevent insolvent trading
by the company. If it is proven that a director is guilty of an offence it may be possible to
recover from the director an amount equal to the loss or damage suffered by the
company.
6.2 A summary of the company's trading results from 2004 are attached as Appendices C &:
D. A summary is also provided below.
22
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March 2011 2010 2009
Year
Management Management Management 2008 2007 2006
Accounts Accounts Accounts Draft Audited Unaudited
$ $ $ $ $ $
Profit and Loss Statement:
Income 31,507,338 42,954,376 33,238,766 30,376,988 30,223,578 42,465,746
Expenses 31,286,962 44,242,177 35,075,761 34,296,352 33,668,624 43,730,121
Profit/(Loss) Before Tax 220,376 (1,287,801) (1,836,995) (3,919,364) (3,445,046) (1,264,375)
Less Tax Nil Nil
Nil
Nil 285,654 321,831
Profit/ (loss) After Tax 220,376 (1,287,801) (1,836,995) (3,919,364 ) (3,730,700) (1,586,206)
Balance Sheet:
Current Assets 11,132,604 10,159,080 11,918,446 9,540,048 8,815,002 8,846,051
Non-Current Assets 8,552,128 8,869,588 9,489,384 12,631,099 13,679,176 12,871,848
Total Assets 19,684,732 19,028,668 21,407,830 22,171,147 22,494,178 21,717,899
Current Liabilities 10,659,970 9,257,900 7,157,294 10,449,149 7,964,352 6,518,984
Non-Current Liabilities 9,563,722 10,097,019 12,604,620 8,239,085 6,971,821 4,481,518
Total Liabilities 20,223,692 19,354,919 19,761,914 18,688,234 11,936,173 11,000,502
Net Assets (538,960) (326,251) 1,645,916 3,482,913 7,558,005 10,717,397
Issued & Paid up Capital 7,505 7,505 7505 7,505 7,505 7,505
Asset Revaluation Reserve 392,551 392,551 392,551 392,551 392,551 392,551
Retained Earnings (939,016) (726,307) 1,245,860 3,082,857 7,157,949 10,317,341
Total Equity (538,960) (326,251) 1,645,916 3,482,913 7,558,005 10,717,397
6.3 Based on the financial accounts prepared by the external accountants and management
accounts we have drawn the following conclusions.
There was a severe drop in revenue in the 2005 and 2006 financial years. However,
gross margins remained steady across these years with little or insignificant change.
Expenses remained constant from 2005. These would be expected to decrease with
the reduction in sales. It is evident that borrowing costs increased substantially
indicating a greater reliance by the company on debt.
The goodwill within the business of $1,702,693 was fully amortised in the draft 2008
accounts. This indicates managements belief that the goodwill was unrealisable if the
business was to be sold.
23
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The quick asset ratio declined rapidly from the 2006 financial accounts from 1.3 to
below zero indicating the increasing difficulty of the company meeting its debts as and
when they fall due. The net assets of the business have also been steadily declining
since 2005.
The company has incurred trading losses since 2006. Such losses are unsustainable
for extended periods of time and directly affect the company's net assets. These losses
also signal deteriorating cashflows.
6.4 Based on the books and records available to us, we make the following observations
which confirm our opinion that the company may have been trading whilst insolvent:
In the 2007 financial accounts the company's auditor, noted his concern that there
was significant uncertainty as to if the company can operate as a going concern.
The appointment of an investigative accountant, McGrath Nicol, by the secured
creditor in early 2008 to assess and review the company's financial position.
We understand requests of the secured creditor for further funding in 2008 were
declined.
Failure to meet outstanding tax liabilities, resulting in a payment arrangement entered
into with the Australian Taxation Office. Our preliminary investigations have revealed
that may have defaulted on this arrangement.
Failure to honour employee superannuation payments since February 2011.
Persistent and worsening trading losses, net assets and retained earnings since 2006
(refer section 5.3 above).
A management were full aware of very tight cashflows since November 2008. This was
brought to a head in February 2010 when forecasts identified large gaps in cashflows
which were unable to be satisfied.
The engagement of an external consultant, Mr Caine Barends of Dallas Barends to
assist with the restructure and turnaround of the business. We understand Mr Barends
prepared cash flow forecasts, undertook sales planning with staff and was in
discussions with various customers and suppliers regarding the company's financial
position. We are unsure as to when Mr Barends first became involved in Orford
Refrigeration, however it appears Mr Barends has been involved as early as November
2008. He also provided extra assistance with locating funding to alleviate the cashflow
problems the company was encountering. We understand he ultimately was appointed
to the position of Chief Executive Officer in October 2010.
From our review of the company's records, it appears that since 2008, the company
has experienced difficulties with paying creditors by the due dates. The company
negotiated longer trading terms with some suppliers. Various suppliers had contacted
the company regarding their outstanding accounts, with some suppliers placing the
company's account on hold.
24
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In September 200B, the company's managing director, notified staff that the company
was experiencing financial difficulties and the business was undertaking a review of
costs (including staff salaries), the operational structure and processes. In the same
notification, the human resources manager position was made redundant effective
immediately.
The records show that on or about March 2011, the company's directors and
employees became aware that sales budgets were unachievable. We also note that
some suppliers altered their trading terms to COD.
The company's records showed that the company was in a poor financial position from
200B.
6.5 Based on our investigations into the company's affairs, it would appear that the company
may have been trading whilst insolvent as early as mid-200B.
6.6 It would appear that there may be an action for insolvent trading, however substantial
further investigation and documentation would be required to definitively determine the
timing of insolvency and the quantum of any claim.
6.7 It should be noted however that before taking any such action, consideration will be given
as to the directors' ability to satisfy any judgment obtained and the costs associated with
taking such an action.
7. RECOVERY FROM DIRECTORS
7.1 We note that from a commercial perspective, any recovery action contemplated by the
company should take into account whether the defending party has the capacity to payor
sufficient assets which may realise adequate funds.
7.2 In order to recover funds from the company's directors or associated entities, bankruptcy
or liquidation proceedings may need to be undertaken.
7.3 Our enquiries have revealed as follows:
Corby Orford has no registered land holdings in her name.
Liam Orford and his spouse jointly own a property which is mortgaged. In addition,
we note Onesteel Trading Pty Ltd a major creditor of the company has lodged a
caveat over Liam Orford's interest in the property in respect of their debt.
Both directors have provided personal guarantees to major creditors including a
significant debt owing to the secured creditor, Westpac.
7.4 It should be noted that before taking any such action, consideration will be given as to
the costs associated with taking such action and the directors' ability to satisfy any
judgment obtained.
25
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8. RECEIPTS AND PAYMENTS
8.1 Attached is a summary of the Liquidators' receipts and payments for the period 6 May
2011 to 9 October 2011.
9. LIKELY RETURN TO CREDITORS
9.1 Below is a summary of the estimated return to the various classes of creditors:
Estimated Statement of Position
Fixed asset subject to secured creditor's charge:
Estimated Realisations:
Plant & Equipment
Motor Vehicles
Factored Debtors
Intellectual Property
Total Estimated Realisations
Less:
Debt owing to Secured Creditor
Costs of realising and maintaining fixed assets
Estimated Surplus/(Shortfall) to Secured Creditor
Floating assets:
Estimated Realisations:
U nfactored Debtors
Stock/Spare Parts
Finished Goods
Unfair Preferences
Voidable Transactions
Total Estimated Realisations
Less:
Estimated Liquidators' Disbursements (incl legal costs)
Estimated Liquidators' Remuneration
Amount Available for Priority Creditors
Debt owing to Priority Creditors:
Wages & Super
Annual Leave (including leave loading)
Long Service Leave
Payment in Lieu of Notice
Redundancy
Total Priority Creditors
Amount available for Secured Creditor
Balance owing to Secured Creditor - floating charge
Amount available for Unsecured Creditors
26
Best Case Worst Case
$ $
1,700,000 1,615,000
80,000 75,000
3,700,000 3,400,000
Unknown Nil
5,480,000 5,090,000
8,056,277 8,056,277
560,000 600,000
8,616,277 8,656,277
(3,136,277) (3,566,277)
170,000 150,000
250,000 175,000
450,000 420,000
Unknown Nil
600,000 Nil
1,470,000 745,000
130,000 250,000
500,000 520,000
840,000 Nil
324,223 324,223
457,345 457,345
514,878 514,878
404,196 404,196
983,361 983,361
2,684,003 2,684,003
Nil Nil
3,136,277 3,566,277
Nil Nil
pilaf?
9.2 The above estimates are subject to recovery of the company's remaining assets and
potential voidable transactions.
9.3 A return to priority creditors, if any, is subject to the recovery of funds from the voidable
transactions. If no such funds are realised, there will be no return to priority creditors.
9.4 It should be noted that substantial further investigation is required before being in a
position to estimate the likely return from voidable truncations. We expect that this
assessment may take some months to complete.
9.5 There is unlikely to be any return to unsecured creditors.
la. LIQUIDATORS' REMUNERATION
10.1 Please find attached our Remuneration Report.
10.2 At the meeting of creditors to be held on 31 October 2011, creditors will be asked to
approve the remuneration of the liquidators, their partners and staff as follows:
6 May 2011 to 9 October 2011 in the amount of $451,323.40 (including GST); and
Prospective remuneration from 10 October 2011 to a maximum of $285,000
(including GST).
10.3 Work undertaken to date is detailed in the attached Remuneration Report and
throughout this report.
11. FINALISATION OF THE LIQUIDATION
11.1 We will expedite the finalisation of this administration pending:
a) Finalise collection of the company's outstanding debtors and commence legal action if
required;
b) Finalise realisation of the company's plant and equipment, stock and finished goods;
c) Exit the company's Toowoomba premises;
d) Recovery of the payments made to Mau reen Orford;
e) Investigate payments made to Orford Bros Pty Ltd and commence recovery action;
f) Investigate payments made and fridges sold to Chilimint and commence recovery
action;
g) If sufficient funds exist from realisations, calculate and pay a dividend to priority
creditors;
h) Conducting a public examination of the directors, if required;
i) Convene final meeting of creditors, if required;
j) Completion and lodgement with the ATO of Business Activity Statements as required;
k) Completion and lodgement with the ASIC of six monthly form 524's "Summary of
Receipts and Payments" until the administration is finalised;
I) Attend to all statutory matters; and
m) Application to the ASIC to have the company deregistered.
27
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Should you have any queries in relation to this matter or information that may assist in our
investigations, please do not hesitate to contact Ms Liz Yang (eyang@pilotpartners.com.au) or Mr
Cameron Woodcroft (cwoodcroft@pilotpartners.com.au) of this office.
" . - ~ " ..... 13th day of October 2011.
NIGEL MARKE
For and on bell If of the
joint and several Liquidators
28
ilart
FORM 529 Subregulation 5.6.12 (2)
Corporations Act 2001
NOTICE OF MEETING OF CREDITORS
Orford Refrigeration Pty ltd (In liquidation)
ACN 009 790 265
Notice is given that a meeting of the creditors of the company will be held at the Downs
Room, Burke & Wills Hotel, 554 Ruthven Street, Toowoomba Qld 4350 on 31 October 2011
at 11.00am.
Agenda:
(i) To determine whether a quorum eXists;
Oi) To consider the Liquidators' Report to Creditors and to receive and discuss any
recommendations of the Liquidators;
(iii) To consider further recovery action in relation to the company assets;
(iv) To consider the remuneration of the Liquidators for the period from 6 May 2011 to 9
October 2011 in the amount of $451,323.40 (GST inclusive);
(v) To consider the future remuneration of the Liquidators;
(vi) Questions to the Liquidators;
(vii) Any other business.
Dated this 13
th
day of October 2011.
NIGH MARK
For and on be alf of the
joint & several liquidators
FORM 532
Regulation 5.6.29
Australian Company Number: 009 790 265
APPOINTMENT OF PROXY
*I/*We ........................................................... (if a firm, strike out "I" and set out the full name of
the firm) of ................................................... (address), a creditor or member of Orford
Refrigeration Pty Ltd (In Liquidation) appoint ....................................... (name, address and
description of person appointed) or in his or her absence ....................................................... as
*my/*our *general/*special proxy to vote at the meeting of creditors and members to be
held on Monday, 31 October 2011 or at any adjournment of that meeting (if a special
proxy add the words "to vote for" or the words "to vote against" and specify the particular
resolution).
Dated the day of
Signature of individual
(Individual creditors only)
OR
2011.
if a company
signature of 2 directors, OR
1 director and 1 secretary OR
a representative properly
authorised pursuant to Section
250D of the Corporations Act 2001
CERTIFICATE OF WITNESS
(This certificate is to be completed only if the person giving the proxy is blind or incapable of
writing. The signature of the creditor, contributory, debenture holder or member must not
be witnessed by the person nominated as proxy)
I .................................................... (name), of .......................................... (address), certify that the
above instrument appointing a proxy was completed by me in the presence of and at the
request of the person appointing the proxy and read to him or her before he or she signed or
marked the instrument.
Dated the
Signature of Witness
Description
Place of residence
day of
*Omit if not applicable
2011.
Australian Company Number: 009 790 265
FORM 535 Subregulation 5.6.49(2)
FORMAL PROOF OF DEBT OR CLAIM
(GENERAL FORM)
To the Liquidators of Orford Refrigeration Pty Ltd (In Liquidation)
1. This is to state that the company was on 6 May 2011, and still is, justly and truly indebted
to ..................................................................... for $ ................................ and ......................... cents.
Date Consideration Amount Remarks
(state how the (include details of
debt rose) $ c voucher
substantiating
payment)
2. To our knowledge or belief the creditor has not, nor has any person by the creditor's order,
had or received any satisfaction or security for the sum or any part of it except for the
following:
Date Drawer Acceptor Amount Due Date
$ c
*3. We are employed by the creditor and authorised in writing by the creditor to make this
statement. We know that the debt was incurred for the consideration stated and that the
debt, to the best of my knowledge and belief, remains unpaid and unsatisfied.
*3. We are the creditor's agent authorised in writing to make this statement in writing. We
know that the debt was incurred for the consideration stated and that the debt, to the best
of our knowledge and belief, remains unpaid and unsatisfied.
Dated
Signature
Occupation
Name
Address
Phone
day of 2011.
*Do not complete if this proof is made by the creditor personally.
ORFORD REFRIGERATION PTY LTD (IN LIQUIDATION)
ACN 009 790 265
FORMERLY TRADING AS "ORFORD REFRIGERATION" AND "ORFORD SIGN SHOP"
SUMMARY OF RECEIPTS AND PAYMENTS
FOR THE PERIOD 6 MAY 2011 TO 9 OCTOBER 2011
Receipts
Cash on Hand
GEERS Advance
GST Refund
Interest Received
Pre-Appointment Debtors (Factored)
Pre-Appointment Debtors (Unfactored)
Refund - General
Refund - Pre-Appointment Insurance
Return of Employee Float
Sale of Finished Goods
Sale of Motor Vehicles
Sale of Plant & Equipment
Sale of Scrap Metal
Sale of Spare Parts
Payment from Secured Creditor in Respect of Unfactored Debtors
Total Receipts
Payments
Agent's Commission
Asset Realisation Costs
Bank Fees
Cleaning
Debt Collection Expense
Electricity
Gas
GEERS Distribution to Employees
Insurance
Interest
Leasing
Legal Fees
Liquidators' Disbursements
Liquidators' Remuneration
Locksmith
Mail Redirection
PAYG Withholding Tax
Payment to Secured Creditor - Factored Debtor Receipts
Post-Appointment Wages and Superannuation
Refunds of Finshed Goods
Reversal of Deposit by Factored Debtor
Security
Storage
Telephone
Transport
Valuation
WorkCover
Total Payments
Net Position
Represented by
Cash at Bank
Debtor Finance Facility
Total
$
$
$
$
Total
$
652.50
2,223,417.68
12,452.00
5.34
2,991,219.28
86,906.15
809.98
16,197.52
1,000.00
320,736.64
65,514.90
1,515,889.10
9,288.40
172,822.10
120,612.98
7,537,524.57
147,200.16
151,776.43
122.00
626.40
2,677.38
24,844.06
158.84
1,799,769.47
32,413.30
410.27
614.67
24,406.14
16,515.65
215,000.00
1,749.83
49.00
4,101.00
3,084,329.25
25,340.87
3,520.00
3,461.57
14,056.95
2,518.65
10,138.28
2,168.21
11,385.00
1,607.59
5,580,960.97
1,956,563.60
1,951,563.60
5,000.00
1,956,563.60
pilof7
REMUNERATION REPORT
ACN 009 790 265
PILOT PARTNERS
Chartered Accountants
LevelS, 175 Eagle st. Brisbane 4000
PO Box 7095 Brisbane 4001
Queensland Australia
P +61 7 3023 1300
F +61 7 3229 1227
pilotpartners.com.au
("the Company")
In accordance with the Insolvency Practitioners Association of Australia Code of Professional
Practice and the requirements of the Corporations Act 2001 ("the Act"), we set out below our
remu neration report.
This report is set out as follows:-
1. Liquidators' Remuneration
2. Description of Work
3. Disbursements
4. Queries and Information Sheets
1. Liquidators' Remuneration
1.1 The Liquidators' remuneration can be calculated by a number of methods such as time
based, quoted, fixed fee, percentage of assets or on a contingency basis as follows:
Time based / hourly rates
This is the most common method. The total fee charged is based on the hourly rate
charged for each person who carried out the work multiplied by the number of hours spent
by each person on each of the tasks performed.
Fixed Fee
The total fee charged is normally quoted at the commencement of the liquidation and is
the total cost for the liquidation. Sometimes a Practitioner will finalise a liquidation for a
fixed fee.
Percentage
The total fee charged is based on a percentage of a particular variable, such as the gross
proceeds of assets realisations.
Contingency
The practitioner's fee is structured to be contingent on a particular outcome being
achieved.
1.2 We propose to charge on a time basis as:
It ensures that creditors are only charged for work that is performed. Our time is
recorded and charged in six minute increments.
o We are required to perform a number of tasks which do not relate to the realisation of
assets, for example responding to creditor enquiries, reporting to ASIC, distributing
funds in accordance with the provisions of the Act.
o We are unable to estimate with certainty the total amount of fees necessary to
complete all tasks required in this administration.
ABN 50 063 6B7 7691 Pilot is a registered trade mark licensed to Pilot Partners I Liabilitylimited by a scheme approved under Professional Standards Legislatiorl
Member of Ncxia International, a worldwide network of independent aceountingand consulting firms.
pilaf?
Remuneration Report
1.3 The time based method of calculating the remuneration of the Liquidators is a fee for
services rendered according to the time spent on the particular administration by the
Liquidators, their partners and their staff. The amount of such fee is in accordance with
the role of the particular person, his or her qualifications and experience.
1.4 The scale of rates charge by our firm is attached and is in accordance with the rates
charged from time to time by Pilot Partners.
1.5 At the forthcoming meeting of creditors to be held on 31 October 2011 creditors will be
asked to approve the remuneration of the Liquidators and to pass the following resolutions:
Liquidators Past Remuneration
"That the remuneration of the joint and several Liquidators, their partners and staff be
hereby approved for the period 6 May 2011 to 9 October 2011 in the sum of $451,323.40
(including GST) and that the joint and several Liquidators be authorised to draw their
remuneration from funds available. "
It is noted that at the meeting of creditors held on 18 May 2011, creditors approved the
future remuneration of the Liquidators to a maximum of $215,000.00 (inclusive of GST).
The Liquidators have drawn an amount of $215,000.00 in respect of the past remuneration
for this period.
We note that in addition to the above, the Department of Education, Employment and
Workplace Relations funded our remuneration and expenses for work rendered in respect
of verification and distribution of employee claims under the General Employee
Entitlements and Redundancy Scheme in the amount of $43,186.00 (including GST).
We anticipate our remuneration over the course of the next four to six months of the
liquidation to be in the order of $285,000.00 (including GST).
Liquidators Prospective Remuneration
"That the future remuneration of the joint and several Liquidators, their partners and staff
from 10 October 2011 be approved to a maximum of $285,000 (including GST) and that
they be calculated by reference to the hourly rates set down from time to time by Pilot
Partnersi and such rf!muneration be subject to review by the Court on the application of
any creditor and that the joint and several Liquidators be authorised to draw their
remuneration from funds available. "
2. Description of Work
2.1 The tasks undertaken by the Liquidators can be broadly divided into eight (8) categories as
follows:
Assets Employees Investigation Administration
Creditors Trade On Dividend Statutory
2.2 Attached as Annexures "Al and A2" is a calculation of the Liquidators' remuneration
together with a summary of the type and purpose of work undertaken for the period from 6
May 2011 to 9 October 2011.
2.3 Attached as Annexure "B" is a summary of the type and purpose of future work to be
undertaken by the liqUidators over the next six months of the liquidation.
2
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3. Disbursements
Remuneration Report
3.1 Disbursements are divided into three types: A, Bl, B2.
A disbursements are all externally provided professional services and are
recovered at cost. An example of an A disbursement is legal fees.
Bl disbursements are externally provided non-professional costs such as travel,
accommodation and search fees. Bl disbursements are recovered at cost.
B2 disbursements are internally provided non-professional costs such as
photocopying and document storage. B2 disbursements are charged at cost
except for photocopying, printing and telephone calls which are charged at a
rate which is intended to recoup both variable and fixed costs.
3.2 Full details of disbursements on this appointment are as follows:
Disbursements
Advertising
Courier
Faxes
Postage
Photocopying
Storage and Destruction (subject to no. of boxes)
Storage Retrieval and Refile
Rate (GST Exclusive)
At Cost
At Cost
$9.46 first page
and $2.82 subsequent pages
At Cost
$0.75 per page
At Cost
$30.00 per box
3.3 Creditor approval for the payment of disbursements is not required, however we must
account to creditors. Creditors have the right to question the incurring of the
disbursements and can challenge disbursements in court.
4. Queries and Information Sheets
4.1 The above information is provided to assist creditors consider the appropriateness of the
remuneration claim that is being made.
4.2 Creditors should feel free to contact the Liquidators' office to seek further information
concerning the remuneration claim if they so need.
4.3 The IPA have produced a document entitled "Creditor Information Sheet: Approving
remuneration in external administrations" that can be downloaded from the IPA web site
www.ipaa.com.au or alternatively a copy can be obtained if you contact this office.
NIGEL MARKEY
For and on beh f of the
joint & several L uidators
3
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Remuneration Report
Pilot Partners Hourly Firm Rates
Effective 1 July 2011
We have summarised below the rates we, our partners and staff charge:
Description Description of Level of Experience Rate $/Hour
of Staff (Excl GST)
Member
Appointee / Official Liquidator/ Registered Liquidator and/or Trustee, 470
Director Partner bringing his or her specialist skills to the
administration or insolvency task.
Associate More than 10 years of experience, at least 5 years at 410
Director manager level, capable of controlling all aspects of an
administration. May be appropriately qualified to take
appointments in his/her own right.
Manager More than 5 years experience in insolvency or associated 250 - 390
fields. Answerable to the appointee but otherwise
responsible for all aspects of administration. Experienced at
all levels and considered very competent. Control staff and
their training.
Supervisor Between 4 to 6 years insolvency experience. Qualified CA or 200- 250
CPA program, undertaken IPA course. Will have had
conduct of minor administrations and experience in control
of 1-3 staff. Assists planning and control of medium to
larger jobs.
Senior Between 2 to 4 years insolvency experience or equivalent. 150 - 200
CA or CPA program completed in this period. Assists
planning and control of small to medium sized jobs as well
as performing some of the more difficult work on larger
jobs.
Intermediate 0-2 years. Graduate with little or no professional or 105 - 145
insolvency experience. Required to assist in day-to-day
fieldwork under supervision of more senior staff.
Junior Plans to undertake at least part-time degree or diploma. 95
Required to assist in administration and day-to-day
fieldwork under su pervision of more senior staff.
Administrator Appropriate skills including secretarial support, machine 130
usage, books and records management, recording banking
and accounts processing on administrations.
Computer Appropriate skills including machine usage. 95
Operator
The hourly rates used by us and the partners and staff of Pilot Partners reflect our own particular cost
structure, the risks associated with the work undertaken and the type of administration being carried on by
us. Our scale of hourly rates recognise the nature of the work, the extent and urgency of the work, the
degree of skill required and the degree of responsibility undertaken.
Our firm rates change from time to time (usually annually) to reflect increased costs of operating.
The last such increase became effective on 1 July 2011.
4
Pilot Staff Position $/hour Total actual
(ex GST) hours
Nigel Markey Appointee 470 212.8
Ann Fordyce Appointee 470 72.2
Bradley Hellen Director 470 3.2
Jane Leeuwendal Manager 3,0 2.7
Elizabeth Yang Manager 250 369.5
Julle Dorney Manager 260 0.2
]ennifer Veltch Senior 195 4.0
Zahra Richards Senior 165 17.5
Zahra Rlchards Senior 175 2.5
Cameron Woodcroft Intermediate 135 209.2
Cameron Woodcroft Senior 150 210.5
Joseph Rlchards Senior 150 13.7
Kylee Sempf Intermediate 145 0.1
Joshua Meggs Intermediate 135 0.4
Joshua I'\eggs Intermediate 145 0.'
Ne!! MitcheU Intermediate 140 322.9
Shaun Lu Intermediate 120 0.7
Shaun Lu Intermediate 130 I.,
Angus Boyd Intermediate 100 308.7
Wiriya plukavec Intermediate 120 44.1
Slmone Zhao Intermediate
'0
3.6
Elizabeth Dyett Secretary/WPQ 130 21.8
lucy Dulgnan Secretary/WPQ
'0 17.8
lucy Dulgnan Secretary/WPQ '5 22.4
2,086.3
GST
TOTAL (including GST)
I
2,086.3
Average hourly rate
Annexure A1
Orford Refrigeration pty Ltd (In Liquidation)
ACN 009 790 265
FormerlyTrading as ,"Orford Refrigeration" and "Orford Sign Shop"
Calculation,of Remuneration for the period 6 May 2011 to 9 October 2011
Total Task Area
($) Assets Creditors Employees Trade on
h"
,
h,.

h,.

h,.

100,016.00 69.9 32,853.00 35.0 16,450.00 14.9 7,003.00 1.2 564.00
33,934.00 30.5 14,335.00 15.7 7,379.00 0.4 188.00 1.3 611.00
1,504.00 - -
- - - -
-
-
1,053.00 - - - - 2.7 1,053.00 - -
92,375.00 156.5 39,125.00 117.3 29,325.00 5.3 1,325.00 -
52.00 - - - -
-
- - -
780.00 2.2 429.00 1.8 351.00 - -
-
-
2,887.50 2.8 462.00 - - 14.5 2,392.50 - -
437.50 2.5 437.50 -
- - - -
28,242.00 103.9 14,026.50 61.8 8,343.00 4.8 648.00 1.5 202.50
31,575.00 110.0 16,500.00 33.7 5,055.00 '.3 1,395.00
-
-
2,055.00 4.4 660.00 3.1 465.00 1.1 165.00
-
-
14.50 - -
-
-
- - - -
54.00 - -
-
-
- - - -
130.50 - - - -
- -
-
-
45,206.00 139.0 19,460.00 151.8 21,252.00 5.6 784.00 - -
84.00 0.7 84.00 - -
-
- - -
247.00 - -
- - I., 247.00
-
-
30,870.00 150.0 15,000.00 63.2 6,320.00 45.9 4,590.00 -
9,372.00 47.3 5,203.00 17.1 1,881.00 4.1 451.00 - -
17,225.00 73.1 9,137.50 25.3 3,162.50 '.7 1,212.50
-
-
5,292.00 1.6 192.00 14.1 1,692.00 5.0 600.00 -
324.00
-
- - - - -
-
-
2,834.00 6.1 793.00 5.1 663.00 0.2 26.00 0.7 91.00
1,602.00 3.0 270.00 2.4 216.00 - - - -
2,128.00 - - -
-
5.6 532.00 - -
$410,294.00 903.5 $168,967.50 547.4 $102,554.50 131.00 $22,612,00 4.70 $1,468.50
$41,029.40 $16,896.75 $10,255.45 $2,261.20 $146.85
$451,323.40 903.5 $185,864.25 547.4 $112,809.95 131.0 $24,873.20 4.7 $1,615.35
$216.33 1$ 205,721 1$ 206,081 1$ 189,87 ~ 1 $ 343.691
Investigation Administration Statutory
h,.

h,.

h,

78.5 36,895.00 12.5 5,875.00 0.8 376.00
1704 8,178.00 6.' 3,243.00 -
-
- - - - 3.2 1,504.00
- -
-
- -
41.0 10,250.00 45.8 11,450.00 3.6 900.00
-
- - 0.2 52.00
- - - - - -
- - 0.2 33.00 - -
- - - - -
-
10.0 1,350.00 27.2 3,672.00
- -
'.0 1,350.00 46.6 6,990.00 I., 285.00
1.0 150.00 2.4 360.00 1.7 255.00
- - - - 0.1 14.50
- - - - 0.4 54.00
- - - - 0.' 130.50
3.7 518.00 21.5 3,010.00 1.3 182.00
-
-
-
-
- -
-
-
-
- -
-
18.5 1,850.00 31.1 3,110.00
- -
3.5 385.00 11.7 1,287.00 1.5 165.00
16.5 2,062.50 lOA 1,300.00 2.8 350.00
- - 17.8 2,136.00 5.6 672.00
3.6 324.00 - - -
-
0.4 52.00 5.0 650.00 4.3 559.00
- - 11.7 1,053.00 0.7 63,00
- - 16.8 1,596.00
- -
203.1 $63,364.50 267.6 $45,765.00 29.0 $5,562.00
$6,336.45 $4,576.50 $556.20
203.1 $69,700.95 267.6 $50,341.50 29.0 $6,118.20
1$ 343.19 I 1 $ 188,12 1 1 $ 210.97
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Annexure A2
Remuneration Report
ACN 009 790 265
("the Company")
Task Area
Assets
$185,864.25
Creditors
$112,809.95
Summary of the type and purpose of work undertaken
for the period from 6 May 2011 to 9 October 2011.
Description Includes
Plant and Equipment Liaising with valuers, auctioneers and interested parties
Reviewing asset listings
Assets subject to specific All tasks associated with realising a charged asset
charqes
Debtors Correspondence with debtors
Reviewing and assessing debtors ledgers
Liaising with debt collectors and solicitors
Stock Conducting stock takes
Reviewing stock values
Uaisinq with Durchasers
Other Assets Tasks associated with realisino other assets
Leasing Reviewing leasing documents
Liaising with owners/lessors
Tasks associated with disclaiminQ leases
Insurance Identification of potential issues requiring attention of insurance
specialists
correspondence with insurers regarding initial and ongoing
insurance requirements
Reviewing insurance policies
Correspondence with previous brokers
Creditor Enquiries Receive and follow up creditor enquiries via telephone
Maintaining creditor enquiry register
Review and prepare correspondence to creditors and their
representatives via facsimile
t
email and post
Correspondence with committee of creditors members
Retention of Title Claims Receive initial notification of creditor's intention to claim
Provision of retention of title claim form to creditor
Receive completed retention of title claim form
Maintain retention of title file
Meeting claimant on site to identify goods
Adjudicate retention of title claim
Forward correspondence to claimant notifying outcome of
adjudication
Secured creditor reporting Preparing reports to secured creditor
Responding to secured creditor's queries
Dealino with fixed or floatino charoes or both
Creditor reports Preparing reports, circulars
l
notices to creditors
notke of meetings
l
agendas, remuneration for fee approval
meeting and Qeneral reports to creditors
Dealing with proofs of debt Receipting and filing POD's when not related to a dividend
corresponding with OSR and ATO regarding POD's when not
related to a dividend
Meeting of Creditors Preparation meeting notices, proxies and advertisements
Forward notice of meeting to all known creditors
Preparation of meeting file/ including agenda/ certificate o ~
postage/ attendance register, list of creditors, reports to creditors/
advertisement of meeting and draft minutes of meeting.
Preparation and certificate of resolution of minutes of meetings
Respond to stakeholder Queries and Questions immediatelv
6
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Task Area
"H"
'"' 'Y
GEERS
Employees
$24,873.20
lof
Workers compensation
claims
Other employee issues
Trade On Management
Trade On
$1,615.35
investigation,
Searches etc.
Investigation
$69,700.95
Legal Matters
Correspondence with
others
Document
Administration
maintenance/file
$50,341.50
review/checklist
Remuneration Report
I
i ,and follow up enquiries via M ..
Maintain employee enquiry
representatives via facsimilet ema!1 and post
Preparation of letters to employees advising of their entitlements
and options available
Receive and prepare correspondence in response to employees
i to'leave I
, with
Preparing notification spreadsheet
Preparing GEERS quotations
, GEERS n;. "i' t;nn.
-, -,
I
Reviewing files and company's books and records
Reconciling superannuation accounts
Reviewing awards
Liaising with I
Review insurance policies
Receipt of claim
Liaising with insurers regarding claims
Identification of potential issues requiring attention of insurance
i
,nee with Child
,nee with
Liaising with suppliers
Liaising with management and staff
Attendance on site
Liaising with superannuation funds regarding contributions,
lof I
Searches (ASIC, titles, Motor vehicle, credit file etc.)
Meeting with directors
Correspondence to directors
Demand and collection of company books and records
Reviewing books and records
Review and preparation of company nature and history
Conducting and summarising statutory searches
Preparation of comparative financial statements
Preparation of deficiency statement
Review of specific transactions and liaising with directors regarding
certain transactions
Liaising with directors regarding certain transactions
Preparation of investigation file or notes
'"
i phoenix company activity by the directors
related party
."". ""' meetings todiscuss status of I
Preparing brief to solicitors
Liaising/correspondence with solicitors regarding recovery actions
Attending to negotiations
r to I
Other correspondences not specific to other milestones
i i .
review
I including first month, then 6 monthly
Set up file & client code
Preparation of file notes and internal memos
Filing of documents
File reviews
i IIS[S
7
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Task Area DescrlDtion
Bank account
administration
Strategic Planning /
Review, Appointment
Statutory
ASIC Form 524 and other
$6,118.20
forms
ASIC, ATO & other
statutory reporting (533,
BAS etc)
Remuneration Report
Includes
Preparing correspondence opening and closing accounts
Requesting bank statements
Bank account or Cash Book reconciliations
Correspondence with bank regarding specific transfers
Banking, Drawing Cheques / depositing funds
SummarY of Receints and PaYments
Discussions regarding status of administration
Management Review, Strategic Planning
Review of ADDointment / Indemnitv Documents
Statutory Lodgements
Preparing and lodging ASIC forms including 505, 524, 508
1
911
Lodging Minutes of meeting of creditors
CorresrJondence with ASIC reoardino statutorY forms
On appointment and day 1 notifications
Notification of apPointment
Taxation ego Preparing BAS
Completing group certificates
8
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Annexure B
Remuneration Report
ACN 009 790 265
("the Company")
Task Area
Assets
[$55,000]
Creditors
[$22,000]
Employees
[$5,500]
Investigation
[$131,000]
Summary of the type and purpose of work undertaken
for the four-to-six month period from 10 October 2011
Description Includes
Plant and Equipment Liaising with valuers, auctioneers and interested parties
Reviewina asset listings
Assets subject to specific All tasks associated with realising a charged asset
charges
Debtors Reviewing and assessing debtor ledgers
Liaisinq with debt collectors and solicitors
Stock Reviewing stock values
Liaisinq with auctioneers
Other Assets Tasks associated with realisinq other assets
Insurance Correspondence with insurers regarding ongoing insurance
requirements
Reviewinq insurance policies
Creditor Enquiries Receive and follow up creditor enquiries via telephone
Maintaining creditor enquiry register
representatives via facsimile, email and post
Correspondence with committee of creditors members
Secured creditor reporting Preparing reports to secured creditor
Responding to secured creditor's queries
Dealing with fixed or floatir)gcharges or both
Creditor reports Preparing reports, circulars, notices to creditors
notice of meetings, agendas, remuneration for fee approval
meetinq and Qeneral reports to creditors
Dealing with proofs of Receipting and filing POD's when not related to a dividend
debt Corresponding with OSR and ATO regarding POD's when not related
to a dividend
Meeting of Creditors Preparation meeting notices, proxies and advertisements
Forward notice of meeting to all known creditors
Preparation of meeting file, including agenda, certificate of postage,
attendance register, list of creditors, reports to creditors,
advertisement of meeting and draft minutes of meeting.
Preparation and certificate of resolution of minutes of meetings
Respond to stakeholder queries and questions immediately following
meetino
Employees enquiry Receive and follow up employee enquiries via telephone
Maintain employee enquiry register
representatives via facsimile, email and post
Preparation of letters to employees advising of their entitlements
and options available
Receive and prepare correspondence in response to employees
objections to leave entitlements
GEERS Correspondence with GEERS
Other employee issues Correspondence with Child Support
Correspondence with Centrelink
Conducting investigation, Correspondence to directors
Searches etc. Reviewing books and records
Review of specific transactions and liaising with directors regarding
certain transactions
Liaisinq with directors reqardinq certain transactions
9
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Task Area Description
Legal Matters
Adjudicating proofs of
debt
Dividend
[$33,000 subject
to sufficient funds
Dividend procedures
being realised]
(advertising etc.)
Correspondence with
others
Document
maintenance/file
review/checklist
Bank account
Administration
administration
[$5,500]
Finalisation
Strategic Planning /
Review Appointment
Books and records /
storage
Statutory
ASIC Form 52.4 and other
[$33,000]
forms
ASIC, ATO & other
statutory reporting (533,
BAS etci
Remuneration Report
Includes
Preparation of investigation file or notes
Recovery of voidable transactions
Investigate phoenix company activity by the directors
Investigate related party transactions
Preparation of supplementary 533 report to ASIC, if required
Internal meetings to discuss status of litigation
Preparing brief to solicitors
Liaising/correspondence with solicitors regarding recovery actions
Attending to negotiations
Attendino to settlement matters
Preparation of correspondence to potential creditors inviting
lodgement of POD
Receipt of PODs
Maintain POD register
Adjudicating PODs
Request further information from claimants regarding POD
Preparation of correspondence to claimant advising outcome of
adjudication
Preparation of correspondence to creditors advising of intention to
declare dividend
Advertisement of intention to declare diVidend
Obtain clearance from ATO to allow distribution of company's assets
Preparation of dividend calculation
Preparation of correspondence to creditors announcing declaration
of dividend
Advertise announcement of dividend
Preparation of distribution, dividend file and payment vouchers
Preparation of correspondence to creditors enclosing payment of
dividend
Other correspondences not specific to other milestones
General administration including first month, then 6 monthly
administration review
Set up file & client code
Preparation of file notes and internal memos
Filing of documents
File reviews
Updating checklists
Preparing correspondence opening and closing accounts
Requesting bank statements
Bank account or Cash Book reconciliations
Correspondence with bank regarding speCific transfers
Banking, Drawing Cheques / depositing funds
Summary of Receipts and Payments
Notifying ATO of finalisation
Cancelling ABN / GST / PAYG registration
Completing checklists
Finalisino WIP
Discussions regarding status of administration
ManaQement Review Strateqic PlanninQ
Dealing with records in storage
Sending job files to storage
Archiving and Storage of records
Statutory Lodgements
Preparing and lodging ASIC forms
Lodging Minutes of meeting of creditors
Correspondence with ASIC regarding statutory forms
Supplementary 533 Report
Taxation ego Preparing BAS
10
APPENDIX A
ORFORD REFRIGERATION PTY l TD (IN LIQUIDATION)
ACN 009 790 265
LIST OF CREDITORS
Amount
No. Creditor Name $

..
1 WESTPAC BANKING CORPORATION 8,056,276.91
2 COMMONWEALTH BANK OF AUSTRALIA LIMITED Unknown
3 MERCANTILE CREDITS PTY L TD Unknown
Total Secured Creditors 8056276.91
. . . .

1 LORL YN ADLAON 345.98
2 ASHTON ANDERSON 355.58
3 JOSH ANDERSON 366.61
4 scon ANDERSON 1270.29
5 DAVID ANDREW 2214.92
6 RICHARD ARNOLD 2968.81
7 JEFFREYASH 1 507.49
8 KIRSTY BAIRD 711.24
9 BRADLEY BARNES 70.62
10 DANIEL BEAZLEY 579.09
11 THOMAS BENJAMIN 14107.23
12 JUSTIN BIENKE 920.27
13 BELlNDA BIFFIN 235.98
14 BRADLEY BLlNCO 1654.10
15 KURT BLOMFIELD 859.59
16 DAVID BLOWES 1 936.71
17 ALEXANDER BOM 1716.94
18 GRAHAM BRADSHAW 1 564.97
19 ADAM BRIDGEMAN 840.23
20 ROSS BRIG HOUSE 1 266.33
21 MALCOM BROWN 6 907.73
22 PAMELA BRUMBY 1 023.45
23 BROCK BUCHANAN 367.23
24 lAIN BUCHANAN 846.94
25 BEVAN BUCKLEY 49.40
26 JASON BURTON 1544.39
27 KERRY CARMICHAEL 3 790.35
28 STEVEN CASSIDY 36 157.66
29 MOUR CHAN 943.97
30 SUSAN COBB 294.98
31 ANNA COCHRANE 766.83
32 PETER COCHRANE 1 657.25
33 WAYNE COLEMAN 1 096.63
34 DAVID COLTHUP 461.52
35 GREGORY CRADICK 766.99
36 BREnCROSS 1319.85
37 ANTHONY CROWTON 1057.15
38 DAVID DALLlNGER 1 396.47
39 ANNA DEACON 266.76
40 DAISY DEVELOS 884.99
41 TRACIANN DICKFOS 11104.12
42 AMANDA DIGWEED 965.21
43 CALLUM DIGWEED 582.65
44 SHAUN DODDS 930.88
45 SUSSANNE DONNELL Y 1023.19
46 LAUREN EHRLlCH 1431.90
47 CATHY ENGLAND
.
48 TANIA ERNST 1 173.01
49 MORGAN ETCHELL 247.55
50 BEVERLEY FACER 26 653.35
51 DORIS FARQUHARSON 1 042.41
52 MOHAMMED FAZIL 1 385.85
53 GEMMAGALVAN 8442.74
ACN 009 790 265
LIST OF CREDITORS
Amount
No. Creditor Name $
54 ;SARA TLES 832.51
55 1,543.97
56 ISHANE GEITZ 2,746.75
5, DEAN 707.28
58 IGORDON I 20.24 ,,06
59 ISHEI DON 28:..47
60 IRODNEV 1,107.68
61 I GRAHAM 48.000.0C
62 ,784.29
63 ,V GREY 1,135.86
64 IJONATHON 956.41
IMONZAHAFZA 9,409.D1
JAKE HAMIL ON -
67 Iscon HANNA '34.50
68 IJUSTIN HARRIS 920.26
69 IKIM 1,220.70
TRACV 1.
______________________________________ 1-_____ .
72 IJUNE HIPPI
73 IANTHON' JLLlST 169.4
74 lH 42:.9
75
76 'H 220.3
77 ' A\!.!dQ!:! 9.9
78 3EQBQEjUKES .6
79 I KAVANI.C
80
81 I BIOK KEER
82 DAVID KEMP
83
84 GARV KENTWELL
85 MARK
409
,279.
189.79
87 DAVI __________________________________ r-__ ..
88 15.021.46
89 IBRL;E ,267.16
90 ,EVIN ,E 723.34
91 UESSALES >1.22
92 IHN 333.40
93 .ADU 800.80
94 ____________________________________ ______ ..
95 825.99
96 DAMIEN LEE 1,
>7 IRICKY I
98 DEAN LlNKE
99 I LOVE
100 <IM
JAMES LUWONG
102 'LYNCH
1051
06 GAVIN I
)7 I MARTIN
108 LlAM I
-
593.DO
7,555.17
3.626.77
766.99
857.42
18.15
9, '8.88
!1.52
09
l1C
111 'AMcARTHUR
112 IMCEWAN
113 _YNN MC LAREN 1,
114 ,MC
115
16
1.
117
::
ACN 009 790 265
Formerly trading as "Oriord Refrigeration" and "Orford Sign Shop"
LIST OF CREDITORS
Amount
No. Creditor Name $
120 JAMIE
121 IRONALD MIDOLO
122
123 ISAMUEL MONC
124
125 Ir.HARI F" 846.95
126 CRAIG MIIFI I FR 1.574.98
12; TROY MUL_ER 167.62
128 ULlE
129 ______________________________________ -+ _______
130 _E 1.62
131 IELSON 766.99
NC 634.2l
133 fENC ____________________________________ ______
134 I C 203.91
135 DA 96: .54
136 DEA JRI ORD -
137 GRI -
138 PAL JRi ORD .. 565.05
139 OSBAR 847.67
14C .IAN fTl 1,335.20
141 iYINPANG 453.08
142 I ,393.53
143 IWAYNE PATERSON 1,551.70
144 DEBBIE PAYLOR 1.548.18
145 IBRIAN I 1,089.72
146 I PIT 1,089.27
147 ,TH POLlTSCH
148 (AREN
149 . PRIC 437.85
150 I 42.3:
151 IEMERITA QUINl 999.63
152 IKARL QUIRE 367.23
153 EM MA -
154 : REX 94.23
155 : RICHTER 920.27
156 LlLlBETH RICHTER 8.628. '2
157 ,316.07
158 __________________________________ ____ ..
159 TODD ROSS092.15
160 .,631.96
16" RIQ!S!,RYAN .,600.18
162 JRY 184.4'
163 WALrER SEIDEL .7,696.33
164 -SLOAN 1,1.13.
165 IERIC SMITH 1.
166 IJAMES 920.
167 IPgE'l!.SB..STAINES 91:1
168 rALBOl 84.54
169
170 IEi'HAN D 180.65
171 LLOYD THOMPSON 707.99
172 I TOLEDO 367.23
: 73 (N TOLEDO 962.56
74 TOLEDC 932.47
175 MICK' 'nQ??'
fRAIN 313.22
'7 IAMOE VAI 211.80
W
179 INAl N' .,029.83
18C ,VI 'RS 734.50
181 A- 978.5:
ACN 009 790 265
LIST OF CREDITORS
Amount
No. Creditor Name $
182 DAVID WEIS
183 SCOTT WEIS
184 GLEN
185 !JOHN I
186
187 WILSON
188 ""
189 (AREN WIR
IN
192 mc WRIGf
193 IG

196 DE OF nON. EMPL
roTAL
\BL RI & AIR
2 IT BLINDS
3 . PARTS
4 ADVANCE WIRE & CABLE P/L
5 A[ ITION
6 ADVANTA,E
7
8 .AGL SAl
9
11
1
lA.
IAI IN,
IALLTECH
,(OLe rYL D
: PTYL MITEI
lE IATION & AIR
USTRAL ,prY
,SONS PTY
I
Ne IAL
IN PTY
I

19 AMG DISTRIBUTORS OLD PTY LTD
20 I CONl
21 \NITECH
22 ANTHONY INAL
23 \NTHONY
24 ARAFURA CATERING
25 A PTY LTD
26 rH I
AN[
IG I
LOGY
; PTYLTD
lATION
LACE RELATIONS
I PT
2' A & S R J & AIR -IONING PT TO
28 ASTRO ALLOYS :AUS11 PTY L TD
19 iATLAS I ITICIN ii? I
30 IAUSTRALlAN All i'iif-
31 IAUSTRALlAN I
32 IAUSTRALlAN \SS GROUP
33 IAUSTRALlAN C SUPP ES
34 IAUSTRALlAN SI CL ITIES &
35 IAUSTRALlAN' (A IN OFFI
36 IAVERY ,P/L
37 AVIS AUSTRALIA
38
39
lATION &
:PTYL DT/AS
DJI
40 IT
4: :&
:;=iiST COMPL rE
I
I PTY LTD
ON SERV
44 GROUP PTY
PTY LTD
27,715.89
1 oon.,n
-
138.06
5
2,221,417.68
-
2,73:
214.00
1,576.L5
L8. !7.15
753.50
;54.00
;3
48 .17
.13
.290 '8
1047
lAC
213040
4112.00
10.00
3,546.97
256.L1
1,980.01
-
550.00
09
462.00
389040
50,.88
52:,,96
6,794.72
2.858.55
.5C
8,305.50
489.00
775,
14,034.22
199.52
-
-
L18.25
1,151. 70
.2: 00
10,586.78
ACN 009 790 26S
LIST OF CREDITORS
Amount
No. Creditor Name $
45 IBFS PLASTICS PTY 8,073,12
46 IBM I SERVICES 574.47
4 ; ELECTRICAL 256.30
8MS TRE 3,673.57
4
GASES
mON AND AIR
AC Pl
JEI
4
55 I : RI
IY lTD TIA
REFRI
lATION
56 I BLACK
57 BSC MOTION LOGY
58 : & I lATION
59 ;,E,C,A, PTY l TD
60 CAFE DIRECT
61 I rED
IN
CAPITAL AUSTRALIA lTD
62
63 AUSTRALIA PTY TO
64 I, IN 'IONAl PIL
65 IN SOLUTIONS
66 ,WORL
6' CATER COOL P--Y TO
liG
AUSTRALIA PTY TO
68 vr I o".,'{ SALES & SERVICES CATERING EQUIPMENT
69 ,AIR lATION
70 ,REFRIG I
7 '5MMERcE & INDUSTRY
72 )RA 5NDiTiOr ,& lATION
73 ' HENRY ; P/L
74 MTION & EL
75 D HI,TEC: P(
76 CHEPAuSTRALlA
'7 I PTY re
78 CHILlMINT PTY TO
79 CHINA ,C
8C ;HIZMC' PTY LTD
8:
82 CL GLASS
83
UCTION
84
85 COASTLINE I 'ION
86 TO lAST lATION
87 nON & AIR ::JNDITIONING
88 JR lATION
89 GRP
90
91
lATION
'T 'LTD
92 COM]
93
I IN SERV,
lAW, KNIFE
I & INDUSTRIAL
I ,FOOC
'ASIA] TO
rED AL OYS
1CO
01 X I ENTERPRISES
,02 COOMA AIR INING &
103 CORBY OR FORD
.1..Qi.
105 CPI PAPERS
, PTYLTD
106
107 ON
108 ; & I
109
" 'V" PTY lTD
I ON
PTY LTD
(AUSTRALIA) PTY TO
146.52
-
106.70
2.7,93
298,04
245,10
575,30
4,393,52
1,375,67
617.56
48,693,
990,
,007,
4,
1,91
2C
125,19:
3,795,
1.573,
4
-
3:
14' 00
l' 1,50
192,50
<mi
124.96
575,30
440,00
956.25
1,397.00
6.40, .50
3,55 ,25
12,474.00
143.00
39000
4
16,)16,
ACN 009 790 26S
LIST OF CREDITORS
Amount
No. Creditor Name $
III ; rAUSTl PTY TO
II DARCY IAN
112
l13 DDI DISPLAYS
l14
115 DELTEC MANUFACTURING PTYLTD
l16 ; PTY
l17 DMS I 'E
TTH 1 ELECTRICAL
l19 DOVE HY(
l21 ; AUl I 'E
121
.22
l23 ; HEADWEAR
124 lE, . EL LATING
.25 Pty Lld
I JT LIMITED .INC
EHI AUSTRALIA PTY TO
El : PRODUCTS
o ELECTRO CHEMICAL I i PTY LTD T/A ECE FAST
_EGANi I.G LINE
_GAS
3AFE I liA
(L
13, NLEI
136
13: TO P _TD
138 EZYCHILL
90,716.03
596.74
d
10,046.30
11 840.0C
513.3C
1.320.00
1
7,21
)0
15.
2.
10,521.00
1,309.83
80
139 'M' OOl & GUAGE 18,773.17
140 rH & REYNOLDS P/l l26.50
141 i & 7 l3
142 FASCC -lA PTY TO 38
143 FOX I PTY TC :.51
144 1 SOFTWARE PTY LTD .71
145Fu LunTop 79 :.97

i81G
:9 IGA lDEN CITY CABS
,y PC
o JCITY
IG AND SANDPLASTING
iY I AND AIRCON
I I IN
158
l59
160
161 GTS REFF GERA I
162 ; El ;TRI
OAE' Ht USE
I I IN
163 GWB I JC PTY TO
164 HADENY 10
165 GRC
166 HAI LY PTY
167 HB RECRLI
168 HB I G PTY
, PTYLTD
I IG
8.
63:
176.
1.0945

316.25
288.55
350.90
238.15
',475.00
10
319.00
577.28
08
169 HE TI -
170 I PTY LTD 12 :.64
.71 307,45 1.63
.72 ..
173 iHILLS M2 TOU:'" i.95
J4 IHIWAY HYDRAULIC I 201 .25
i75 IHRX TPT PTY lTD T/A IAN HORREX lA . & VAN DAMME OR' 57. 09.98
1761HSE ;ATIONS .,064.53
l77 IIAN NICHOLAS 3,549.85
ACN 009 790 265
LIST OF CREDITORS
Amount
No. Creditor Name $
L78 I 408.38
179liCON PLASTICS PTY LTD
180 IIM REALrY PTY L 156.976.30
18: IIMI AUSTRALIA 68.437.89
IMPI 81 JFFI lE 261.14
IY JMP PTY TO
INSI 'P/L
18 INTI lE) !* 123.29
11 1& 15,835.06
11 1& R lATION PTY LID 363.62
18 J&S ________________________ -r ____
19C RII;HARDSB &-iY TO
191 JAN OOM AC I I TO
192 JOHN BOSSY REI I AND AIR I G 242.00
193 JOHN GRAY MI 4.554.0C
194 JOHN MUNRO I I & I I 195.85
195 JOYCE FOAM PTY LTD 3,708.10
196 JUST ;HILL I 594.55
197 JUST 631.40
198 I COOKERS AUSTRALIA 0
199 .802.50
200 lTS PT TO
201 !!':
202 <EY TUBING & EL
. SERVICES
I . INDUSTRIES
203 \ROYR
204 'lCIAL
205 LEER ICE
206 J FORKLIFT AUSTRALIA
207 IKOOLFOAM PTY LTD
208 OOLRITE
209 .ANE lVE
210 .lAM
21 .IFELlNE DARLING
I&AIR
212 I SENTRY GROUP PTY LTD
213 .INDE I . HANDLING
IG
214 IMAI;H"ifJERY FORUM PTY
215 IMACKIEELECTRICAL & RI IN PTY TO
216 i PTY LTD
2:.7 MAUREEN'
.120.50
5: .585.34
06.90
85,657.94
6: .7:
9,043.72
11,170.03
1 001.30
22.85
00
!2.00
J16.00
74,755.71
144.83
1,996.50
809,000.00
218 __ D __________________________ +-__
19 3./90.17
22C oN 407.0C
STORAGE
221
222 MEX
223 MID COAST AIR I G & I
224 MOE I I IN I
225
I LTD
MPS I
3.439.00
495.00
471.88
286.00
L7.646.67
4.431
96.

.Y HEATING & ('i 43.
I 95 .
. FC OC "NTRE .
. A:nON REID l31
. ACON AND I I PTY 67

I 98
231 J WEAT mON 24: .
PTY TO 5.44' 1.42
...ll.. DFFICE OF STATE 'NSW .2.236.
239 ,OF STATE ,OLD 294,877.42
24C OF STATE ,VIC 6,879.85
241 OF STATE : WA
242 . METALAND 2,663.10
ACN 009 790 265
LIST OF CREDITORS
Amount
No. Creditor Name $
243 ONESTEEL
244
245 flC
246 =c 0
! 247 =0 u LC
248 ,PR:
249 IP.O.S.M
250 I
,PTY LTD
,T & I
lA: )N &AIR
iPl 'ATF
, 11'-'<> Y L TO
lATION & AIR,
I FREIGHT
I PETER ANC DRNA 81 H
-IONING
) L I rRUSl
I IG PTY TO
IPETER DATES REFI I I IN & AIR CONDI i PTY
IPHILlPS LIGHTING AUSTRALIA
IANC I I IG PTY
8.311.74
,721.473.28
139_70
357,"" nn
78,735.61
174.35
174 hn, .7
154.00
612.15
150,758.30
495.
IPI ; PTY 15,615.
2571P( 374.
2581P&M PTY 264.
..
CV" I INDUSTRIAL SALES
260
261 PRESTIGE COMPUTER TtA PRESTIGE
262 . PTY TO
263 'SG KRS I i (NSW:
264 lAD AUSTRALIA PTY L TO
265 lCC (NSW) PTY L TO
266 OLD
IM PLASTIC
;R LASER
IREHAU PTY
274 D, GPO

276 IRIBBON WOND
I IN
i PtL
. SALE
277 IR & L lATION & AIR, -IONING PTY LTD
2781RMAX
279 IRS CC ,NTS PTY LiMITE[
280lRL -ION
lATION AN[ AIRCONDr
S & G GROUP PTY TO
283 SAL,
184 IIN (AUSTRALIA) PTY TO
285 ,PTY LTD
286 IN
187
288 CR HI IG I:lL
6,803.78
5.598.45
18.642.54
290.00
360.75
18000
468.05
175.40
-
33.00
.
6, .5.
3.
15, 66.54
76.0C
i3.9C
627.00
.25.68
3,938.87
1,474.00
38.6:
!32.00
1,627.34
289 3EDL W[Y,LTO

292 ,A, I 726.00
________________________________ +-______
i2941SiMS REFRIG'ER'A" _
295 I JND. 287.11
296 ISOUTH OLD MP : H 669.56
297 ISOUTH TMBA CLUB 3,000.00
298 ISOUTH WEST 13.84
299 ISOUTHERN Cl' CONTROL 743.89
30C IN': -
3011STATE PAYRC 1.340.32
302 ,TEELFORCE 2.157.85
303 JA n ME-AI. FABRICATORS
304 IDGE El I. SERV. & SES INDUSTRIAL CON' 93.50
ACN 009 790 265
LIST OF CREDITORS
Amount
No. Creditor Name $
305 SUMTIN ELECTRICAL -
306 SUNRISE ELECTRICS CAIRNS 176.00
307 T.H & J.M GRAHAM 107.80
308 TELSTRA 20680.34
309 TEWS TRANSPORT PTY L TO (LIBERTY FINANCIAL) 159.84
310 THE HEALTH ADVANTAGE 9734.82
311 THERMAL COMPONENT TECHNOLOGIES PTY L TO 16506.77
THERMO-PRO COMMERCIAL REFRIGERATION
312 23 142.59
313 THOMAS MARSH AND CO PTY LTD 14622.54
314 TOLL NORTH PTY L TO T/AS NQX 52368.33
315 TOLLS SPD 4 173.12
316 TOOL TECH PTY L TO 21 491.36
317 TOOWOOMBA OFFICE SUPPLIES 9628.30
318 TRADELlNK PLUMBING SUPPLIES -
319 TSCO PTYLTO 471.58
320 UES (INT'L) PTY LTD 974.60
321 UNITED REFRIGERATION PTY LTO 1 568.22
322 VANTAGE PERFORMANCE 26688.00
323 VISY INDUSTRIES -
324 VT INDUSTRIAL COATINGS 72 783.71
325 W A & K M CHARD REFRIG & AlC 342.65
326 WAGGA CATERING EQUIPMENT 264.00
327 WALLER'S INDUSTRIAL HARDWARE 985.22
328 WARWICK PRESSED METALS 895.50
329 WARREN WARD REFRIGERATION 311.97
330 WATSONS RETRAVISION & FURNIT 309.25
331 WAYNE KEMPSTER COMMERCIAL REFRIGERATION 274.45
332 WESTPAC BANK -
333 WILSON REFRIGERATION & AIRCONDITIONING PTY LTD 176.00
WIRE BY DESIGN PTY LTO
334 10 093.55
335 WRIGHT REFRIGERATION 28B.09
336 WORKCOVER QUEENSLAND 36903.50
337 WPM SHEET METALS 896.50
338 YARRAMAN PINE PTY LTD 714.49
-
Total Unsecured Creditors 12,292,870.02
-
Total Secured Creditors 8,056,276.91
-
Total Priority Creditors 2,743,178.87
-
Total Creditors 23,092,325.80
APPENDIX B
Listing of Intellectual Property
Table 1: Patents, Trademarks and Designs subject to IP sale agreement between
Orford Refrigeration Pty Ltd and Roderick Abif pty Ltd
Patents
Application No. Description Status Current Applicant
2005100680 Refrigeration system Sealed Roderick Abif Pty Ltd
with dual evaporator
2005100677 Refrigeration cabinet Sealed Roderick Abif Pty Ltd
with improved airflow
200163562 An improved refrigerator Lapsed Orford Refrigeration
shelf Pty Ltd
200118414 Thermostat controlled Lapsed Orford Refrigeration
Pty Ltd
200072006 Improved airflow Lapsed Orford Refrigeration
arrangement for a Pty Ltd
refriqerator
200072005 Improved mullion Lapsed Orford Refrigeration
assembly Pty Ltd
Trademarks
Trademark No. Description Status Current Registrant
1244016 The word 'Orford' and Registered/Protected Roderick Abif Pty Ltd
Orford loqo
836464 The word 'Orford' and Registered/Protected Roderick Abif Pty Ltd
Orford logo
1228219 The words 'Eco Chill' Registered/Protected Roderick Abif Pty Ltd
1244040 The words 'Eco Chill Low Registered/Protected Roderick Abif Pty Ltd
Energy' and Eco Chill
Low Energy logo
470651 The words 'Orford Removed - Not Orford Refrigeration
Toowoomba' and Orford Renewed Pty Ltd
logo
1048240 The word 'Orford' and Lapsed/Not Protected Orford Refrigeration
Orford logo
Designs
Desi'ln No. ReQistration Status Expirv Date Current Owner
200514129 Cu rrently not renewed 24 September 2010 Orford Refrigeration
Pty Ltd
200514128 Currently not renewed 24 September 2010 Orford Refrigeration
Pty Ltd
199904098 Cu rrently not renewed 6 July 2002 Orford Refrigeration
Pty Ltd
199201053 Currently not renewed 30 April 2008 Orford Refrigeration
Pty Ltd
198607610 Currently not renewed 25 November 1992 Orford Pty Ltd
198607609 Currently not renewed 25 November 1992 Orford Pty Ltd
Table 2: Patents and Trademarks owned by Orford Refrigeration not subject to IP
sale agreement between Orford Refrigeration Pty ltd and Roderick Abif pty ltd
Patents
Aoolication No. Descriotion Status Current Aoolicant
2000PQ9655 An improved refrigerator Lapsed Orford Refrigeration
shelf Pty Ltd
2000PQ5881 Thermostat controller Lapsed Orford Refrigeration
Ptv Ltd
1998088396 A refrigerated display Lapsed Orford Refrigeration
cabinet Pty Ltd
1998058307 An improved Lapsed Orford Refrigeration
refrigeratinq mechanism Ptv Ltd
1998055345 An improved refrigerated Lapsed Orford Refrigeration
cabinet Pty Ltd
1997P05697 An improved Lapsed Orford Pty Ltd
refrigeration mechanism
1997P05142 An improved Lapsed Orford Pty Ltd
refriqeration cabinet
1996075341 A space indicator Lapsed Orford Refrigeration
Ptv Ltd
1994056486 Fluorescent light fitting Lapsed Orford Refrigeration
Pty Ltd and Mantova
Marketing Pty
Limited
1988024073 An improved Lapsed Orford Refrigeration
refrigeration cabinet Pty Ltd
Trademarks
Trademark No. Descriotion Status Current Reqistrant
357421 The words 'Kwik Kleen' Reqistered/Protected Orford Bros Ptv Ltd
488937 The words 'Gourmet Removed - Not Orford Bros pty Ltd
Twin' Renewed
488934 The words 'Dough Boy' Lapsed/Not Protected Orford Refrigeration
and Douqh Bov loqo Ptv Ltd
488935 The words 'Fish File' and Lapsed/Not Protected Orford Refrigeration
Fish File logo Pty Ltd
488936 The words 'Easy Thaw' Lapsed/Not Protected Orford Refrigeration
and Easy Thaw logo Pty Ltd
APPENDIXC
Historical Profit & Loss Statements
30/06/08 30/06/07 30/06/06 30/06/05 30/06/04
Orford Refrigeration p ~ Ltd $ $ $ $ $
Revenue from ordinary activities 30,376,988 30,223,578 42,465,746 49,394,596 31,478,943
Discounts and Rebates
Total Income 30,376,988 30,223,578 42,465,746 49,394,596 31,478,943
% Increase in Income 1% -29% -14% 57%
less Cost of Goods Sold
Changes in inventories of finished good
and work in progress 1,176,807 (691,735) 1,934,538 (472,340) (1,414,259)
Raw materials and consumables used 13,103,505 14,280,374 16,795,979 25,873,549 15,302,713
Total Cost of Goods Sold 14,280,312 13,588,639 18,730,517 25,401,209 13,888,454
Gross Profit 16,096,676 16,634,939 23,735,229 23,993,387 17,590,489
Gross Margin (%) 53% 55% 56% 49% 56%
Expenditure
Employee benefits expense 8,496,484 9,787,208 15,071,902 12,311,251 9,778,536
DepreCiation and amortisation expenses 2,569,218 1,060,214 724,526 562,571 351,172
Borrowing costs expense 1,034,148 631,841 657,450 452,889 420,433
Other expenses from ordinary activities 7,916,190 8,600,722 8,545,726 8,259,860 5,165,946
Total Expenditure 20,016,040 20,079,985 24,999,604 21,586,571 15,716,087
Net Profit before Tax (3,919,364) (3,445,046) (1,264,375) 2,406,816 1,874,402
Opening Retained Earnings 7,157,949 10,317,341 11,259,885 9,606,381 8,571,161
Net Profit/(Loss) (3,919,364) (3,445,046) (1,264,375) 2,406,816 1,874,402
Less: Income Tax 285,654 321,831 (753,312) (839,182)
Closing Retained Earnings 3,238,585 7,157,949 10,317,341 11,259,885 9,606,381
APPENDIX D
Historical Balance Sheets
30/06/08 30/06/07 30/06/06 30/06/05 30/06/04
Orford Refrigeration p ~ Ltd $ $ $ $ $
Current Assets
Cash at Bank 154,668 130,789 339,206 235,198
Cash on hand 5,100 2,000
Trade Debtors 4,975,093 3,350,944 3,825,011 6,911,310 5,225,080
Provision for doubtful debts (35,000) (35,000) (106,000)
other Debtors 404,442 205,538 488,079 549,670 455,890
Loans to Directors 37,781 17,925 124,217 19,828
Inventories - Finished Goods 1,068,075 1,589,998 2,176,050 2,895,949 2,042,101
Inventories - Raw Materials 2,422,038 2,970,928 2,027,105 3,027,521 3,577,298
Inventories - Work in Progress 372,047 478,041 144,076 358,300 190,031
Prepayments 290,472 79,960 36,724 144,236 199,787
Prepaid Borrowing Expenses 1,647
Total Current Assets 9,540,048 8,815,002 8,846,051 14,.246,.020 11,927,032
Non-Current Assets
Amounts receivable associated companies 4,217,673 3,532,089 2,957,381 4,384,556 3,694,148
Other Debtors 1,554,738 848,415 41,970 419,060 956,793
Shares in Orford Bros Pty Ltd 1,168 1,168 1,168 1,168 1,168
Plant & Equipment 8,966,800 9,259,230 8,770,390 8,157,492 3,769,290
Less: Accumulated Depreciation (2,734,458) (2,289,597) (1,304,832) (713,531) (282,077)
Motor Vehicles 124,647 137,147 169,647
Less: Accumulated Depreciation (48,233) (32,653) (15,313)
Goodwill 2,084,466 2,084,466 2,084,466 2,084,465
Less: Accumulated Amortisation (381,773) (277,548) (173,325) (69,101)
Deferred Tax Assets 625,178 625,178 522,439 244,050 319,706
Total Non-Current Assets 12,631,099 13,679,176 12,871,848 14,508,430 10,628,726
Total Assets 22,171,147 22,494,178 21,717,899 28,754,450 22,555,758
Current Liabilities
Trade Creditors 4,483,219 2,665,465 1,220,613 4,530,665 2,898,591
Other Creditors 451,745 719,809 531,607 273,498 300,527
Unsecured Loans 85,372 36,279
Bank Overdraft - Secured 94,985 3,015,427 692,692 1,451,045 1,742,009
Bank Bills - Secured 3,200,000 3,200,000 3,200,000
Bank Loan - Secured 3,503,289
Lease Liability 1,059,817 815,866
Equipment Loans 1,090,383 932,106 629,457
Employee Benefits 701,000 785,592 400,000 355,628 371,415
Other Provisions 69,602
Provision for Income Tax 120 (74,086) (616,311) 803,052 741,819
Total Current Liabilities 10,449,149 7,964,352 6,518,984 11,545,994 9,883,818
Non-Current Liabilities
Amounts payable to related entities 12,134 70,865 5,251
Bank Bills - Secured 3,700,000 3,200,000
Lease Liability 4,213,404 3,416,877
Equipment Loans 3,679,625 4,767,882 1,775,310
Employee Benefits 265,000 294,263 546,163 422,730 467,873
Deferred Tax Liabilities 60,681 60,681 243,596 287,038 417,069
Total Non-Current Liabilities 8,239,085 6,971,821 4,481,518 5,548,515 2,665,503
Total Liabilities 18,688,234 14,936,173 11,000,502 17,094,509 12,549,321
Net Assets 3,482,913 7,558,005 10,717,397 11,659,941 10,006,437
Shareholders' Equity
Share Capital 7,505 7,505 7,505 7,505 7,505
Asset Revaluation Reserve 392,551 392,551 392,551 392,551 392,551
Closing Retained Earnings 3,082,857 7,157,949 10,317,341 11,259,885 9,606,381
Total Shareholders' Equity 3,482,913 7,558,005 10,717,397 11,659,941 10,006,437

Orford Refrigeration Pty LTD (In Liquidation) - Report To Creditors - October 2011

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Orford Refrigeration Pty LTD (In Liquidation) - Report To Creditors - October 2011

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