Liquidators say a Gympie accounting and bookkeeping firm collapsed by the federal court was carrying six-figure debt in unpaid tax.
A new report lodged with the Australian Securities and Investments Commission into the liquidation of Southside-based accounting firm Central 1 (Brisbane) has revealed the company owed the Tax Office $134,256 at the time it was ordered shut by the federal court.
The firm, which was registered in mid 2000 and traded as Asian Pacific Business and Advisory Services since 2001, was taken to the federal court by the ATO in October 2025.
The court ordered it be wound up into insolvency on December 10, 2025, and David Orr be appointed liquidator.
Central 1 (Brisbane), which did not lodge any documents in its defence, was ordered to reimburse the ATO costs of $3416.36.
Mr Orr said in the report company director Ross McSwain had not yet completed a report on the company’s activities and property, but had given an “initial understanding” of its creditors.
Mr Orr said at the time of his appointment the company held two bank accounts with the ANZ with a total debit balance of $50,131.
The bank had issued a legal demand to Mr McSwain for this amount, Mr Orr said.
Combined with what it owed the ATO, the company’s total debt owed to creditors was $189,858.
Mr Orr said Mr McSwain had not advised why the company collapsed, but that it appeared to have still been trading “up to and during 2025”.
“We are continuing attempts to contact (Mr McSwain) to confirm the trading position at the date of liquidation,” he said.
His preliminary view was the firm failed due to “undercapitalisation” and the non-payment of debt.
He said the company “appears to have failed to maintain financial records sufficient to satisfy the requirements (of legislation)”.
“This assessment is based on my request for documentation, to which I was provided a 2025 Income Tax Return and advised that no further financials had been prepared.”
Mr Orr said property searches found nothing in Mr McSwain’s name.
This, combined with the ANZ claim, made the potential for any recovery “limited”.
It was unlikely unsecured creditors would get anything back from the liquidation, Mr Orr said.