An Australian consumer affairs body is investigating the boss of a collapsed caravan company which owes millions of dollars to creditors but only has three vehicles to repay everyone.
In August, news.com.au reported that Victorian-based Tango Caravans had plunged into liquidation, leaving 60 customers as much as $90,000 out of pocket each after being “sold the fake dream”.
Andrew Yeo and Lindsay Bainbridge of insolvency firm Pitcher Partners, the appointed liquidators, revealed in a statutory report last week that Tango owes $3.2 million to 85 creditors.
Empty-handed customers make up the majority of the unsecured creditors, with the total amount they are owed exceeding $2 million.
And in a major blow to those 60 customers, they have been warned they won’t be receiving any money in the liquidation process.
The report, submitted to ASIC, the corporate regulator, also revealed that Tango Caravans appears to have been operating while it was insolvent since at least March last year.
On top of that, customers’ deposits were used to prop up the business and keep it going, rather than being kept separate and to pay manufacturer’s fees, according to the submission.
“The company’s bank statements confirmed there was no…
