ASIC obtains orders to freeze assets of Gold Coast developer Ian Chester and wife Sophie Chester
Australia’s corporate regulator has successfully applied to freeze the assets of the Gold Coast developer and his wife after a slew of companies were put into liquidation. DETAILS>>>
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A developer who planned to build the first apartments ever on Sovereign Island has had the assets of he and his wife frozen by a court.
A statement from ASIC on Wednesday said the regulator had obtained Supreme Court orders against Ian Omar Chester and Sophie Sylvia Chester (nee Harmes) “in connection with the use of funds raised from investors for a number of property development projects in Queensland”.
“ASIC had concerns that Mr Chester had used funds invested in some of the projects for his own benefit or not for the purpose for which the funds were invested,” ASIC’s statement said. “Mr Chester did not contest the making of freezing orders against him.
“In making the orders in respect of Sophie Chester, the court was satisfied she had also dealt with investor funds.”
Property records show the couple purchased a $1.465m apartment in Budds Beach on April 25 this year.
Thirteen companies directed by Mr Chester were placed into liquidation six weeks later.
A 14th company directed by Mr Chester was placed into voluntary administration on July 9.
Work on the waterfront Residences on Royal Albert was to have started in mid-2019 but the project stalled.
The 2566sq m Royal Albert Cres site, described as being “shovel ready”, quietly slipped on to the market this month.
The Residences on Royal Albert land, zoned for medium-density housing, was bought for $4.78m three years ago by company 19 Royal Albert Crescent, which is not in liquidation.
The plan, in which the apartments were to range from $2.6m to $5.3m, did not sit easy with the owners in the blue-chip Broadwater-fronting Sovereign Islands.
Close to 500 of them signed a petition opposing the project.
Despite the project stalling, the apartments are still listed for sale on prestige real estate websites.
The Chesters are prohibited from removing their assets from Australia, disposing of property or dealing with any monies available in any bank account in which either of them has an interest.
The orders have effect until a further hearing before the court, which is to take place by January 21 next year.
ASIC’s investigation of the property development projects is continuing.
Terry Grant van der Velde of SV Partners was appointed as the liquidator of the companies.
Editor’s Note:
A previous version of this story stated that 19 Royal Albert Crescent Pty Limited is in liquidation. That was incorrect. 19 Royal Albert Crescent Pty Limited continues to trade. The Gold Coast Bulletin apologises for the error.
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