Mick Gatto's daughter in legal spat over $3200 unit debt with ex husband

UNDERWORLD identity Mick Gatto's daughter is caught up in a legal spat with her ex-husband and former neighbours over a $3200 debt.

Mick Gatto and daughter

UNDERWORLD identity Mick Gatto's daughter Sarah is caught up in a legal spat with her ex-husband and former neighbours over a $3200 debt.

Residents in the luxury Essendon block of townhouses where Ms Gatto once lived are chasing unpaid body corporate fees dating back to July last year.

Fellow owners have launched action in the Victorian Civil and Administrative Tribunal against Ms Gatto and ex-husband Regan Thomopoulos, seeking $3081 plus $200 penalty interest.

A tribunal hearing listed for earlier this week didn't proceed because none of the parties attended.

Documents lodged with VCAT reveal efforts by the owners' corporation to claw back money from the pair for months; a final fee notice was issued in October.

Contacted yesterday, Ms Gatto said she'd moved out of the townhouse about two years ago and later divorced Mr Thomopoulos.

She said her ex-husband had continued to occupy the Essendon property.

The townhouse had recently been sold, Ms Gatto said, and all outstanding debts, including the owners' corporation fees, would soon be paid from the proceeds. "We've had solicitors and lawyers and everything involved. It's all going to be fixed," Ms Gatto said.

Ms Gatto's father Mick - who famously specialises in corporate mediation and debt collection - said yesterday he hadn't wanted to intervene in the dispute.

"I could have sorted it out, but I didn't want to go that way," he said.

"She hasn't lived there for two years. She has moved on with her life."

Efforts to contact Mr Thomopoulos yesterday failed.

There was a "Sold" sticker on a sale board outside the property when the Herald Sun visited. An internet ad for the property described it as "under offer".

After Monday's aborted hearing, senior VCAT member Alan Vassie ordered the proceeding be struck out, reserving a right for its reinstatement if the fees were not paid by June 2013.

Ms Gatto married Mr Thomopoulos in February 2009. Two church services were followed by a reception at Docklands venue Shed 14.

The tribunal case is the latest difficulty to strike the Gatto family this year.

Earlier this year, one of industrial heavyweight Mr Gatto's three companies went bust. More recently, the Australian Tax Office moved to seize his assets over an alleged $10 million tax debt.

The assessment reportedly includes $2.6 million in personal tax, $2.6 million for his three children, and $800,000 for his wife, Cheryle.

Mr Gatto has said he would fight the tax bill "all the way" and claimed the tax office was "being smart" in going after his family.