Belchers Corner debt exceeds $5m as administrator Robert Evans dismissed

An administrator appointed during the Belchers Corner demolition saga has been dismissed as the owner’s corporation grapples with a mounting debt of more than $5 million.

An administrator appointed during the Belchers Corner demolition saga has been dismissed as the owners corporation grapples with a mounting debt of more than $5 million.

Administrator Robert Evans has been ordered to be removed by Victorian Civil and Administrative Tribunal member David Kim after he was found to have failed on multiple fronts.

Scotia Property Maintenance Group applied to have Mr Evans ousted claiming he had run the owners corporation into “financial ruin”.

This was opposed by the owners corporation which argued Mr Evans’ tenure should be extended beyond its February 25 expiration date.

City of Greater Geelong announced in 2019 the building would be demolished after it was found to be riddled with concrete cancer and a danger to the public.

Belchers Corner during its demolition phase in September. Picture: Alan Barber

Scotia, initially employed to provide props for the doomed building, is owed more than $300,000 by the corporation after successfully taking it to the County Court in 2018.

In VCAT documents, Scotia states it is now owed an additional $34,000 in interest payments.

In its application to have Mr Evans removed, Scotia claimed he was “not up to the job”.

“Mr Evans has allowed the owners corporation’s debt to double less than a year after his appointment and then to double again,” Scotia claimed.

Scotia also claimed the owners corporation has “no money” to pay mounting debts of more than $5 million plus more than $180,000 in legal fees.

In defence of Mr Evans, the owners corporation claimed he had “done a commendable job” in challenging circumstances.

They said the task of selling the property was made more difficult because some owners had mortgages tied to the lots.

But Mr Kim ultimately found Mr Evans should be removed because he had:

– FAILED to clearly communicate with some owners 

– BEEN unable to stem the flow of financial losses as quickly and effectively

– FAILED to have the owners corporation satisfy the judgment debt in the County Court proceedings

– DID not address issues raised by the owners corporation

– HAD not completed tasks more than two years after the due date

The member found that after two years as administrator Mr Evans had overseen an owners corporation which was still being pursued by council for failure to comply with orders, has members who owe significant amounts of levies and fees to and was facing mounting debt.

“Based on the figures disclosed by the parties, the total debt owed by the owners’ corporation at the time of the hearing was over $5.3 million,” he said.

“This amount is not fixed and the debt is continuing to accrue.”

He ordered Mr Evans be replaced by new administrator Matthew Twiselton on February 25.

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Originally published as Belchers Corner debt exceeds $5m as administrator Robert Evans dismissed