ACT developer under fire for multiple business failures

A property developer party to the failure of five companies has received a two-year suspension from managing corporations by the Australian Securities and Investments Commission (ASIC).

asic spi

Between December 2019 and August 2021, Paul Kenneth Nimal Hamilton was the director of five companies which entered liquidation:

- Lifestyle Home Account (Lifestyle Homes)

- 3 Property Group (3PG13)

- Be Athletic Canberra (Be Athletic)


- Tiger Property Group (TPG)

- 3 Property Group 2 (3PG2)

ASIC reported these companies were involved in the development of commercial and residential properties throughout Canberra. The commission ruled Mr Hamilton showed a lack of care and diligence and a lack of commercial mortality when he:

- Agreed to act as a director to the five companies to allow the former directors to maintain their credit scores and continue to be directors of other companies in the group.

- Failed to ensure 3PG2 got its tax lodgements up to date and failed to take steps to ensure the tax debts owed by Lifestyle Homes, Be Athletic, TPG, 3PG13, and 3PG2.

- Failed to participate in the management of Lifestyle Homes, Be Athletic, TPG, 3PG13 and 3PG2.

At the time of ASIC’s decision, the five aforementioned companies owed a combined total of approximately $11.86 million to unsecured creditors, including around $5.45 million to the Australian Taxation office and $19,652 to the ACT Office of Revenue.

In making its decision to disqualify Mr Hamilton from managing corporations for two years, ASIC relied on supplementary reports lodged by liquidator Stephen Hundy of Worrells and Jason Tang of Cor Cordis.

The commission approved funding from the Assetless Administration Fund to assist Mr Hundy and Mr Tang in preparation of the reports.

Under Section 206F of the Corporations Act, ASIC is afforded the right to disqualify a person from managing corporations, as it did with Mr Hamilton, for a maximum period of five years if, within a seven-year period, the person was an officer of two or more companies and those companies were wound up and a liquidator provides a report to ASIC about each of the company’s inability to pay its debt.

Mr Hamilton, who is disqualified from managing corporations until 23 October 2025, has the right to seek a review of ASIC’s decision by the Administrative Appeals Tribunal.

ASIC maintains a banned and disqualified persons register that provides information about people who have been disqualified from:

- Involvement in the management of a corporation.

- Auditing self-managed superannuation funds.

- Practising in the financial services or credit industry.

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