Creditors furious as former Glenelg Pier Hotel operator registers new company days after his hospitality group collapsed
Just days after the Glenelg Pier Hotel and Royal Terrace Hotel fell into administration, the man behind the hotel empire has registered a new company — under a completely different name.
- Elli Cakar’s company went into liquidation this week
- Brides-to-be left panicked as weddings thrown into limbo
- But now the Glenelg Pier Hotel will reopen under new management
A failed pub baron has registered a new company just days after the collapse of his hotel empire — which left suppliers and employees thousands of dollars out of pocket.
Elli Cakar, who presided over the closure of the Glenelg Pier Hotel and Royal Terrace Hotel, appointed himself director of 110 Grenfell Street Pty Ltd — three days after he voluntarily put hospitality company Entertainment Venues Australia into liquidation.
The company name registered with ASIC matches the address of The Propaganda Club, which was among six venues which were under Mr Cakar’s control.
But Entertainment Venues Australia liquidator Stephen Duncan said Mr Cakar would have no role in the business going forward.
Mr Duncan, partner of Duncan Powell said the landlord, the Ginos Group, wanted to keep the Propoganda Club trading.
“The landlord is trying to keep it alive and keep some value in it … we’ll take it week by week and see where we can take it,” he said. “I think it does have a future.”
He said the business may trade this Saturday.
Mr Cakar, 45, was evicted from his Unley office on Tuesday for ignoring the landlord’s demands to pay $42,080 in rent, according to a notice of termination and re-entry posted on the windows of the King William Rd premises.
Mr Cakar, who had been living in a $1000-a-week rental property on North Brighton’s esplanade, hung up on The Advertiser when contacted on Friday.
He did not respond to written requests for comment about his company’s demise or why he was registering a new company.
The King William Rd office was headquarters of Mr Cakar’s development company Living Australia, which The Advertiser revealed had tried to build a $1.4 billion mini-city in prestigious Thorngate.
An entertainment supplier, who requested anonymity and says Mr Cakar owes him $3000 for work he did at the Pier, described Mr Cakar’s company registration as a “betrayal” and “kick in the teeth” to those he has not paid.
An upholsterer, who has sued Mr Cakar for refusing to pay $15,500 in renovation work at the Pier and Brougham Adelaide, asked “are you joking me?” when told Mr Cakar had registered a new firm.
“I don’t know how he can do that,” said her husband, who also requested anonymity. “Hopefully a court can stop that happening.”
Three former and current Glenelg Pier Hotel staff said Mr Cakar owed them more than $3000 in superannuation each.
The employees worked in the venue’s Thai restaurant which they said Mr Cakar closed last month without notice, leading to multiple redundancies.
“Management was very poor,” said one ex-chef, Piya, who was among those who lost his job. “They cut down a lot of staff, it was not good service for customers.”
A former colleague, also sacked last month after nearly five years at the business, said staff had complained to Fair Work Commission and ATO in March because they had not been paid super since Mr Cakar took over the business a year ago.
The employee, who only gave his first name as James, said after that complaint they received one payment.
“They promised us so many times they were going to top up super and not one cent has gone in yet,” he said.
The Advertiser reported this week that the landlord of the Glenelg Pier Hotel had taken over control of the business. Full trade at the popular beachside venue is expected to recommence as early as Wednesday, saving up to 40 jobs.
Mr Duncan said he was still working on ascertaining the true extent of Mr Cakar’s company debts.
Mr Cakar ran a commercial tile shop, a building services company and consulted for major home builders before starting Living Australia in 2015.
He set up Entertainment Venues Australia in April last year without any previous experience in the hospitality industry.