By Claire Reilly
Harvey Norman Holdings Limited has issued a statement to the Australian Securities Exchange today, announcing that “two wholly owned subsidiaries of the company” have entered into administration. David Levi from Sydney firm Levi Consulting was appointed administrator over Lesandu CP Moorabbin Pty Limited and Lesandu CP Braybrook Pty Limited as of yesterday.
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Current.com.au contacted Mr Levi to discuss the administration; however, he offered limited information on the nature of the companies and their relation to Harvey Norman’s day-to-day operation of franchised stores.
“I was appointed administrator of Lesandu CP Braybrook Pty Limited and also Lesandu CP Moorabbin Pty Limited by resolution of the directors of each of those companies,” said Levi. “Neither of those companies traded any stores. My understanding at this stage is that they were landlord companies, that they held the lease in relation to stores.
“The company has no employees it has no stores,” he continued. “These companies are wholly owned by Harvey Norman Holdings Limited. That’s the information I have available.
Levi indicated that the companies had entered voluntary administration, and that it was “early days” in his appointment and more enquiries into their affairs needed to be made.
“It’s my job to investigate the affairs of the company, speak with the creditors, as I’m doing, and then to convene a meeting of creditors, to get together with them to speak about the affairs of the company,” he said.