Brisbane solicitor Michael Kemp has just been bankrupted but he can he can still practice law

A Brisbane solicitor has gone bust after years of living the high life with flash cars and multiple luxury homes, with a liquidator revealing he has uncovered a number of questionable transactions.

Michael Kemp was tipped into personal bankruptcy last week. Picture: Annie Perets

LAWYER BANKRUPTED

He’s gone bust after years of living the high life with flash cars, holidays and multiple luxury homes.

But, remarkably, Michael Kemp can still keep on dispensing legal advice.

In a stunning fall from grace, the Brisbane solicitor was tipped into personal bankruptcy last week by a Federal Circuit Court at the behest of one his lenders, LawFinance Ltd, which had a personal guarantee and is owed $2.1 million.

Yet Kemp remains on the staff list of personal injury firm Highland Law, which formerly traded as Kemp Law before he sold the Newstead-based practice for $2.8 million earlier this year.

The bankruptcy ruling last Thursday came just a day before the liquidator of the company previously behind Kemp Law revealed that the debts have blown out from $6.2 million to $8.15 million.

That entity, Kemp Law Pty Ltd, was absurdly rebadged as White Dance Studio and Aerobics Pty Ltd in February, with Kemp’s 77-year-old mother installed as sole director just five days before it collapsed.

Michael Kemp

In a report to creditors, liquidator Glenn Franklin revealed that he had uncovered a number of questionable transactions.

“Investigations have revealed that the former director (Kemp) withdrew amounts totalling $335,302 from the company’s bank account in the eight months leading up to the liquidation,’’ he wrote.

“I have not yet received an explanation for the withdrawals and I intend to pursue recovery of this sum.’’

Franklin, who is also reviewing $177,615 in potentially unfair preference payments, alleges the company was probably trading while insolvent.

To back that up he cites a range of factors, including unpaid tax debts dating from more than two years ago, the securing of numerous short term loans and a failure to make super contributions since late 2019.

“It is likely the company traded whilst insolvent since at least October 2020 and the company’s former director (Kemp) may be liable to compensate the company for debts incurred after that time,’’ he wrote.

“Information presently available indicates the company’s liabilities increased by approximately $2.7 million from October 2020 to the date of the liquidation.’’

Meanwhile, the Queensland Law Society, which seized control of Highland Law’s trust account earlier this year, “may appoint its own receiver to the legal practice,’’ Franklin noted.

Two other creditors, including David Sorban’s DSS Law, have already brought in receivers in a bid to claw back collective debts of more than $1.1 million.

A QLS spin doctor declined to comment other than to say “it is always disappointing and disheartening to see a situation where a legal practitioner finds themselves facing potential legal ramifications.’’

The Legal Services Commission is also investigating numerous complaints about unpaid super from former Highland Law staff, who were employed when Kemp was at the helm.

Neither Kemp nor new Highland principal Zaccaria Casagrande could be reached for comment on Wednesday.

Property records show Kemp offloaded one of his three Hope Island mansions for $1.71 million in January and has listed another for rent at $2300 per week.

ANOTHER APP

Does Australia really need another audio-focused app?

Apparently so, with the gang from Southern Cross Austereo expected to parachute into Brisbane next week as part of a national roadshow to pump up interest in their free new LiSTNR service.

They’ll be getting stuck into the good stuff at a lunch bash at La La Land in the Valley to fire up interest in the app, which features radio, podcasts, music, news—and commercials to pay for it all.

Grant Blackley

SCA boss Grant Blackley has vowed to spend $5 million to generate content and plans to have 50 music stations on offer by the end of the year, up from 15 now.

He’s aiming to create “the single best audio destination’’ in the country, with a target of enticing up to 15 million listeners.

The audience for digital audio has doubled since 2016 and SCA predicts that 80 per cent of Aussies will be tuning in that way by 2024.

BETTER WAY TO PAY

A Queensland entrepreneur and his crew of tech experts have just launched a new payments platform that they claim is shaking up e-commerce.

Steve Vawdrey says his Instant Pay service is already processing about $1 million a day for businesses, which can securely receive funds immediately without the high cost of credit card transactions. The potential for fraud is also greatly diminished.

Steve Vawdrey

The Mount Tamborine-based company charges a fixed fee of $2.50 per transaction regardless of the amount transferred.

Vawdrey said the service was ideal for numerous industries, including tourism, accommodation and online retail, as well as local councils collecting rates.

“Instant Pay is extremely user-friendly and is as simple as making a bank transfer from your internet banking app, removing the need for credit card processing entirely,’’ he said.

“Critically, our platform also removes the need to input credit card details into the internet, making payments infinitely more secure.”

DOING THEIR BIT

Australia’s biggest rail freight operator is doing its bit for the homeless.

Brisbane-based Aurizon revealed this month that it had signed off on a three-year partnership to back nationwide charity Orange Sky, which provides free laundry and shower services for those sleeping rough.

Andrew Harding

Launched in 2014 by two Brisbane mates, Lucas Patchett and Nic Marchesi, the award-winning non-profit group has grown to have more than 30 mobile vans around Australia and New Zealand.

It’s now chaired by former Queensland Treasurer Andrew Fraser and generated $6.7 million in revenue in the last financial year.

Aurizon boss Andrew Harding wouldn’t divulge a dollar figure for the support but the rail giant joins other big corporates backing Orange Sky, including QBE.

“We operate in many locations where Orange Sky provides services and share a common commitment to playing a positive and supportive role in these local communities,’’ Harding said.