E3Style Creditors Meeting Called As Debts Top $5M
A creditors meeting has been called following the collapse of Brisbane based distributor E3 Style and related Companies KreativeDNA and Umph Holding Pty Ltd. The businesses run by Vanessa Garrard are believed to have debts of over $5M.
Garrard is currently attempting to mount a legal fight with directors from South Australian based distributor Powermove and the Queensland based distributor The Crest Company, E3 Style is facing the real possibility of being placed into liquidation.
ChannelNews understands that both Powermove and Crest are set to partition the courts to dismiss E3 Styles claims on the basis that Garrard appears to have no assets and would not be able to pay either party if she lost her claims against both Companies.
An administrator was appointed on the 15 April 2016. A note sent to creditors reports that a “second” Creditors meeting will be held on the 27th of July in Brisbane.
The purpose of the meeting is to receive the report by the Administrator.
If the company is wound up, the meeting will consider the appointment of a committee of inspection and, if so, who are to be the committee members.
The meeting will also vote on authorising the Administrator or Deed Administrator to enter into a Litigation Funding Agreements with the Deed Proponents.