The Hader Clinic founder Richard Smith accused of asking client to hold asset in their name
The founder of The Hader Clinic, which collapsed amid a $3.4m debt pile, has been accused of asking a vulnerable client to hold his luxury car in their name so it could not be seized by creditors.
A drug and alcohol rehab centre boss who is personally liable for his collapsed business’s $3.4m debt allegedly “emotionally manipulated” a vulnerable client, asking them to help hide his assets so they could not be seized and to loan him money.
Richard Smith – who denies the claims – is the founder and director of Health Axis Pty Ltd, which is now in liquidation after it was revealed in the Federal Court the company had owed money to the Australian Taxation Office since 2016.
Health Axis has traded as The Hader Clinic since it was founded in 1998 by Mr Smith.
A statutory declaration made by a former Hader Clinic patient alleged Mr Smith asked to transfer his Jaguar XK8 Convertible into their name last year.
The client, who is also an army veteran, said they felt they had no choice but to agree.
“I was taken back at the inappropriate nature of this request but felt extremely indebted to the clinic for my ongoing recovery from addiction,” the client said in the statutory declaration.
“Richard assured me it was all above board and that it was merely administrative caution on his behalf.”
The client said they felt “violated” by the request.
“I remember feeling sick, thinking to myself why would he put me in this position?” they said.
“I have been used, manipulated, and completely taken advantage of.”
In the statement, the client said Mr Smith agreed to reverse the transfer but that they were never given evidence of this.
Asked about the allegations, a lawyer for Mr Smith said they were “baseless, defamatory and likely to cause serious reputational harm to our client”.
The client also said they were caused a “significant amount of stress” when Mr Smith asked them for a $500,000 loan to help the business “carry on” in the face of the enormous debt.
“During my treatment at The Hader Clinic, I was made aware of some unfolding financial challenges facing the business,” the client said.
“Richard then went on to ask if I would be interested in loaning him $500,000 … as a patient in treatment at this facility, I found this request inappropriate.”
The Herald Sun can also reveal deregistered tax agent Peter Delis, who himself once had a $180,000 personal tax debt, became the failed company’s accountant last year.
Mr Delis was deregistered as a tax agent by the Tax Practitioners Board for having substantial unpaid debts with the ATO between 2010 and 2013.
That included nearly $100,000 in unpaid superannuation owed to his employees, as well as more than $10,000 in personal income tax.
A company controlled by Mr Delis called Pinia Holdings was also found to have accumulated more than $50,000 in outstanding tax in just five years.
Originally published as The Hader Clinic founder Richard Smith accused of asking client to hold asset in their name
