Susan Porrett and Anthony Rigas: Pink Flamingo directors sued by money lender for $500,000

An interstate money lender claims the founders of Broadbeach nightspot Pink Flamingo, whose company collapsed last year owing $3.7m, are personally liable for a series of loan facilities.

Broadbeach's Pink Flamingo, whose founders Tony Rigas and Sue Porrett are facing a $500,000 damages claim. Picture Glenn Hampson

An interstate money lender claims the founders of Broadbeach nightspot The Pink Flamingo, who placed their company into liquidation last year owing $3.7m, are personally liable for loans exceeding $500,000.

New South Wales based lender Shift Finance Australia Pty Ltd commenced proceedings in the Southport District Court against Susan Porrett and Anthony Rigas on January 30.

Ms Porrett and Mr Rigas were the directors of Project 88 TPF Pty Ltd, which operated the cabaret club until its liquidation in July last year.

The company was subsequently revealed to owe an estimated $3.7m, including a $2m tax debt and $370,000 in outstanding employee entitlements.

According to Shift Finance’s statement of claim, the lender entered into a written agreement on February 9, 2023,with the respondents’ company, Project 88 TPF, to provide an equipment loan facility, with Mr Rigas and Ms Porrett named as guarantors.

Pink Flamingo founders Tony Rigas and Sue Porrett. Picture: Jerad Williams

Shift Finance claimed the loan facility was subsequently drawn up to its limit of $174,148.81.

On September 1, 2023, according to the statement of claim, the loan facility limit was increased to $400,000, by consent of the parties, and Project 88 TPF allegedly drew an additional $260,000.07.

Later that month, according to Shift Finance, an $80,000 business overdraft agreement, also naming the respondent as guarantors, was signed off on, with $75,574.79 drawn down.

Shift Finance alleged that when liquidators were appointed to Project 88 TPF in July last year, the company breached its loan and overdraft agreements via the commission of an ‘event of default’.

Ms Porrett in front of Broadbeach nightspot The Pink Flamingo. Picture: Glenn Campbell

Taking into account interest and arrears fees, Shift Finance claimed it is owed $502,441.64 from Mr Rigas and Ms Porrett.

In its statement of claim, Shift Finance said efforts thus far to recoup money from the pair had been fruitless.

“Despite demand made by and on behalf of the plaintiff [Shift Finance], the first defendant and the second defendant have failed, refused or neglected to pay the amount of the [equipment loan and overdraft] debt... to the plaintiff,” the claim stated.

Mr Rigas inside his former venue The Pink Flamingo. Picture: Portia Large.

Mr Rigas and Ms Porrett are yet to file a defence or provide notice of their intention to defend the case.

In a statement provided to this masthead, the pair said they would be responding to Shift Finance’s claim in due course.

“With the very sad and difficult weeks ahead, we are working through all the issues, including financial,” they said.

“Our advisers are preparing our response to Shift Financial.”

The Pink Flamingo continues to trade, with the business transferred to a new corporate entity, KSAJ Group Pty Ltd, helmed by Mr Rigas’ wife, Louise Huxham, shortly before liquidators were called in.

Last Friday, the company behind The Pink Flamingo’s Brisbane sibling, The Pink Flamingo Spiegeland, which is also owned and operated by Mr Rigas and Ms Porrett, entered liquidation.

The business has closed its doors, leaving a string of angry customers in its wake.

Originally published as Susan Porrett and Anthony Rigas: Pink Flamingo directors sued by money lender for $500,000