The company alleged fraudster Bill Papas planned to list on the ASX was unfortunately unprofitable and likely never would have been solvent if it had not received millions of dollars allegedly stolen from Westpac and others. lenders, The Sydney Morning Herald reports.
A damning report on Mr. Papas’ fortune Iugis The cases prepared by McGrathNicol’s liquidators show that the company’s promotional claims did not reflect its actual activities, with the group only leasing 280 waste digesters to companies across the country.
“Iugis has generated insufficient income and cash flow from its legitimate food waste digesters business at all times to meet its financial obligations,” McGrathNicol liquidators Jason Preston, Jason Ireland and Katherine Sozou said in their report. .
READ MORE: Bill Papas’ cousins, Eric and Bill Constantinidis, were involved in the Forum Finance investigation.
“The Iugis entities depended on funding from other entities such as FGFS (Forum Group Financial Services) and Forum Enviro, which, based on investigations by the liquidators, in turn depended on funds from the alleged fraud operation. “
Mr Papas and his financial firm Forum Finance have been accused of orchestrating a $ 500 million fraud against Westpac and other lenders, including Sumitomo and Societe Generale.
The banks allege the fraud began at least in mid-2018, but liquidators suspect the company may have started its allegedly fraudulent scheme as early as 2013.
READ MORE: Bill Papas’ fraud may have started in 2013, according to an explosive Forum report.
The liquidators received evidence of debts from creditors totaling $ 353 million. Their investigations are continuing.
Source: The Sydney Morning Herald.