Supreme Court orders Perth Glory receivers and APLto release wind-up documentation

Events that led to the voluntary receivership of A-League club Perth Glory and an unsuccessful potential sale are to be revealed following the Supreme Court of Western Australia issuing an order for the release of documents.

The club’s receivers KordaMentha and the A-League’s governing body, Australian Professional Leagues (APL), will have four weeks to hand over documents canvassing its finances under subpoenas issued with the Supreme Court’s approval on Tuesday.

The demand was pursued by creditor Kakka Enterprises as part of a bid to have Perth businessman Tony Sage’s company Okewood, which still counts Perth Glory among its key assets, liquidated.

Kakka, which is spearheaded by Perth businessman Kenneth Keogh claims the entity is insolvent and wants to be paid out for its stake in the club.

While that claim is not yet clear, its filing in the Supreme Court on Tuesday indicates it would be in excess of $750,000.

As reported by WAToday, the APL handed over certain assets within Okewood to KordaMentha in July, including the Glory’s licence, amid revelations it had been bankrolling its player and staff wages for five months via $4 million in secured loans.

KordaMentha has since been tasked with hunting for a new buyer, a process which saw a potential sale to Melbourne-based Robert Brij’s Primeland Group-led consortium fall through.

However, lawyer Dan Butler, acting for Kakka, said the events that led the League to hand over control of the club and informed the “narrow” way in which receivers were appointed were still unclear.

He told the Court that Sage would not have all the data necessary to determine Okewood’s solvency because he was no longer in control or privy to information on its financial position, including the likely proceeds from the sale of its key asset.

WAToday reported Butler as saying that he believed it was KordaMentha and the APL who were in possession of documents which would paint “the most fulsome picture” of Okewood’s affairs.

He told the Court “the league has made an active decision, a conscious decision, to only appoint receivers over a subset of assets, and we say that must have been based on information they had at the time.

“Documents produced by the receivers responsible for a portion of this business show they have only identified assets within their control.

“The defendant does own other property not referred to within that report, and we say the APL may know what contribution that is making to the overall solvency of the company.”

A receiver’s report lodged with the Australian Securities and Investments Commission shows the company owes $39 million to creditors, the largest of which is said to be Okewood itself via a $33 million loan to the club.

A final hearing is due to be held before June 2024.

The documents are expected to reveal fresh details about the events that led to the appointment of receivers and the failed sale deal, which receivers have remained coy about.

The APL has previously claimed licences issued for its expansion into Auckland and Canberra could go for up to $25 million.

Meanwhile, Sage is understood to be contesting allegations of tax evasion levelled by the Australian Taxation Office, the Australian Criminal Intelligence Commission and the Australian Federal Police.

Glory was put into voluntary receivership in July after Sage relinquished the club’s A-League licence.

Facing a raft of financial challenges, including not being able to pay players and staff on time this month, Sage’s 15-year tenure as Glory’s sole owner came to an end when the club was placed into receivership.

Image: Perth Glory at HBF Park. Credit: Perth Glory FC.