Wife of would-be cattle baron caught up in insolvent trading, debt and agricultural collapse

The wife of failed cattle baron Sam Mitchell has become embroiled in the mire of the multimillion-dollar financial collapse, exposing her to the potential of legal sanctions.

Wealthcheck boss Sam Mitchell and wife Andrea Miller are alleged to owe millions of dollars in unpaid taxes, a liquidator’s report says.

The collapse of would-be cattle baron Sam Mitchell’s agricultural empire has embroiled his wife, Andrea Miller, as liquidators say a company she controlled owes millions of dollars in unpaid taxes.

In a report lodged by SV Partners, the liquidator firm has pointed the finger at Ms Miller, a former North Bondi local and feature of the beachside suburb’s surf club, alleging she has failed to co-operate with an effort to untangle the mess surrounding her company.

The former agricultural empire managed by Mr Mitchell, who presided over a $500m buying spree in recent years, has continued to disintegrate and several citrus farms are to go on to the market in coming days.

In their report lodged in recent days, SV Partners directors Anne Meagher and David Stimpson alleged Ms Miller had not given any assistance to investigators seeking to unravel the almost $4.8m collapse of Rivera Farm Management, a company which provided labour to agricultural assets controlled by Mr Mitchell.

The liquidators said Ms Miller has been given until September 13 to provide documents, and that if she failed to do so she potentially faced being reported to the Australian Securities and Investments Commission for a breach of her director duties.

The liquidators said the company was controlled by Ms Miller, who took on the role of director in March 2021 after her husband removed himself as a controller on the same day.

SV Partners said Rivera Farm Management had just $34,718 in cash at its collapse, triggered after the Australian Taxation Office took the company to court alleging it had failed to pay millions of dollars in tax and superannuation payments.

The report reveals employees are owed an estimated $682,069 in unpaid wages, while creditors are owed a further $4.1m.

But despite resigning as director of Rivera Farm Management in March 2021, Mr Mitchell features heavily in the dissection of the company’s parlous state.

The liquidators singled out Mr Mitchell as a related party and controller of several companies which owe at least $382,648 to the failed business.

This was in addition to a further $3.7m in loans outstanding to companies controlled by Mr Mitchell.

Mr Mitchell also personally transferred himself at least $260,700 from the company’s accounts.

Sources have told The Australian Ms Miller did not take any role in the running of Mr Mitchell’s agricultural assets, and that the dating coach and author of How To Get A Guy Worth Keeping: A Modern Women’s Guide to Achieving a Fulfilling Relationship That Lasts, had little experience in managing agricultural assets.

The liquidators said Ms Miller, who did not respond to attempts to contact her, potentially faced a finding of trading while insolvent, failure to act with a degree of care and diligence, and failure to provide books and records.

This could result in her being banned as a company director.

Wealthcheck boss Sam Mitchell.

“Our preliminary investigations into the company’s solvency indicate the director may have traded the company while insolvent,” the liquidators said.

“Based on the information currently known, we do not believe the director has any defence available to avoid personal liability of a potential insolvent trading claim.”

But the SV Partners liquidators also said Mr Mitchell could also face another finding of insolvent trading, after already being embroiled in the collapse of his key company, Wealthcheck Management.

“Given Mr Mitchell’s involvement in the other entities associated with the company, there may be a claim against Mr Mitchell if we determine he was a shadow director of the company,” the liquidators said.

Mr Mitchell’s former agricultural empire is being unwound and three avocado farms in North Queensland are set to hit the market. The farms were purchased for $15.1m.

Several other assets are on the market. Sources noted many were run down and sellers were being forced to clean up the mess left by Mr Mitchell’s management of the properties.

Sources have characterised Mr Mitchell’s management of some of the properties as amateurish, noting he spent significant sums of money on new farm machinery that was often unsuitable for the properties.

In one case a number of picking machines purchased for one property were too heavy, resulting in them sinking into the mud when used.

Sources noted Mr Mitchell often failed to pay for maintenance on these farm assets, resulting in their degradation.

Mr Mitchell spent big on other assets, including a private plane and several luxury vehicles.

But lender ADM Capital is pursuing the aspirational farm magnate over a $US35m ($52m) loan used to finance the purchase of a number of cattle properties in the Northern Territory and Queensland.

ADM recently secured a finding Mr Mitchell owed the debts, leaving the door open to the lender to pursue a bankruptcy finding against the former Bondi businessman.

Mr Mitchell, who did not respond to requests for comment, is currently living at his house in San Diego in the US.

Originally published as Wife of would-be cattle baron caught up in insolvent trading, debt and agricultural collapse