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Larry Linx is CEO and director of Parkright Pty Ltd, a company that operates carpark towers in the Brisbane, Melbourne and Sydney central business districts.
Larry Linx is CEO and director of Parkright Pty Ltd, a company that operates carpark towers in the Brisbane, Melbourne and Sydney central business districts. Parkright's business declined dramatically as a result of the shift to work from home arrangements during 2020 and 2021. By February 2022, Parkright was having difficulty paying its employees' superannuation entitlements. It had to ask its electricity provider and security contractor for more time to pay, and one city council had commenced legal proceedings to recover amounts owning on rates (land tax). Larry plans to save the company by investing in the residential real estate market in regional Australia. He does not know anything much about that area of business. Rather, his choice is based on an internet report that said more people would be moving to regional centres after the pandemic. In March, Larry has Parkright buy an apartment building in a small town in Queensland for $3,000,000. Larry finances the purchase by having Parkright borrow the money at an exorbitant interest rate from an online lender, Instantmoney.com. He also sells Parkright's Brisbane garage to his friend, Naomi, for a big discount. Naomi has said that she will pay Barry a 'finders' fee' if he arranges for Parkright to give her a good price. Confident that he has turned the company around, in April 2022, Parkright pays a $200,000 bill for rates to the Brisbane City Council. He also buys a $1,000 crystal glass set for Janice, the company's outgoing bookkeeper, as a retirement gift. A liquidator is appointed on 1 June 2022. Advise her on any voidable transactions and/or breaches of directors' duties on the facts
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