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Hader Clinic founder Richard Smith personally liable for $3.4m tax bill

A Geelong addiction treatment centre that appeared in the Federal Court last week is fighting to avoid liquidation despite racking up millions of dollars in debt.

Founder of The Hader Clinic Richard Smith (pictured here in 2011) is personally liable for his company’s $3.5m debt, a court heard. Picture: Ian Currie
Founder of The Hader Clinic Richard Smith (pictured here in 2011) is personally liable for his company’s $3.5m debt, a court heard. Picture: Ian Currie

A Geelong drug and alcohol rehab clinic that owes nearly $3.5m in tax is desperately fighting to avoid liquidation after a court heard it had been in debt since 2016.

Health Axis Pty. Ltd., trading as The Hader Clinic, appeared in the Federal Court of Victoria last Friday after the Deputy Commissioner of Taxation applied to have the business wound up in insolvency.

A new entity called The Hader Group – registered at the same address as the rehab clinic – was propped up just two weeks before the hearing.

Australian Securities and Investments Commission documents list 71-year-old Ocean Grove resident Richard Smith as the sole director of Health Axis Pty. Ltd.

The matter was adjourned to June 27, giving Mr Smith “one final attempt” to “avoid the liquidator” being appointed.

Born in England, Richard Smith was a former heroin addict of 17 years before getting clean. Picture: Youtube
Born in England, Richard Smith was a former heroin addict of 17 years before getting clean. Picture: Youtube

He now has four weeks to make a satisfactory arrangement with the Australian Taxation Office – who are owed $3.4m – or the business will be dissolved.

The court heard that Mr Smith, who founded The Hader Clinic back in 1998, is subject to personal liabilities for the debt.

The primary place of business for both Health Axis Pty. Ltd. and The Hader Group Pty Ltd is on Townsend Rd in St Albans Park.

ASIC documents obtained by The Geelong Advertiser reveal 33-year-old Indonesian born Andi Thania, who lives at the same residential address as Mr Smith does, as the sole director.

She is also the director of Andi – Smith Investments Pty Ltd, which was established in 2024.

Addiction treatment centre The Hader Clinic Geelong in St Alban’s Park. Picture: Google Maps
Addiction treatment centre The Hader Clinic Geelong in St Alban’s Park. Picture: Google Maps

Speaking on behalf of Health Axis Pty Ltd, lawyer Terence O’Brien said Mr Smith had “not sat on his hands” and that the cessation of the company could negatively impact a lot of vulnerable people.

“He has acted proactively to negotiate a reasonable repayment schedule … this carries very serious consequences for Mr Smith as well as the company,” he said.

“This is a business that has been in operation for 28 years and helped a great number of people … it provides a substantial service to the community.”

Mr Smith said he could not comment at this time due to the ongoing negotiations with the ATO.

Despite the enormous debt, Mr Smith has started up a new rehab clinic on Presidents Ave in Ocean Grove called Adcare.

On its website, Mr Smith – a former addict himself – said the business has “grown” into one of the “most respected” addiction treatment centres in the country since it opened last year.

Originally published as Hader Clinic founder Richard Smith personally liable for $3.4m tax bill

Original URL: https://www.thechronicle.com.au/news/geelong/hader-clinic-founder-richard-smith-personally-liable-for-34m-tax-bill/news-story/1e48698a52fae3230a10a9a1c355e9b5