Court declares Eddy Groves bankrupt!
Courtesy of www.adelaidenow.com.au
AT THE height of his empire, child care mogul Eddy Groves drove flashy Ferraris and mixed it with the basketball teams he owned and Australia's A-list.
Today, he was absent when Federal Court Registrar Patricia Christie agreed to a sequestration order against the man who controlled the country's biggest child care operation.
A sequestration order results in a person being declared bankrupt based on a creditor's petition or other application as outlined under the Bankruptcy Act.
Commonwealth Bank counsel Andew Magers told the Court that letters had been returned from Mr Groves' last address unopened and his solicitors had not responded to matters "in recent months".
While Mr Groves faced off an attempt by Westpac to recover $340,000 used to buy thermal imaging equipment for his Brisbane helicopters business, he failed against Commonealth Bank's efforts last year to recover almost $8 million used to purchase the Adelaide Dome.
But he was given one last chance.
Court staff walked outside to call his name three times: "Edmund Stuart Groves. Edmund Stuart Groves. Edmund Stuart Groves."
And with no answer, Registrar Christie agreed it was appropriate to grant the order "in all the circumstances".
Groves' ABC Learning Group collapsed in 2008 with more than $1.6 billion in debts.
The 1200-centre network was sold off, with the bulk sold to the newly-formed not for profit Good Start, which only managed the transaction with a Federal Government loan.
Sydney-based PPB partner Mark Robinson, who also acts as administrator in collapse of the Darryl Lea group, will act as trustee.
Neither he nor Commonwealth Bank have returned calls on the matter.