Catching the getaway car: Investigating and unwinding illegal phoenix activity
03/12/2025
Guest Contributors
Rebecca Dalais RITP, Senior Government Lawyer, Department of Employment and Workplace Relations (DEWR)
Glenn Livingstone RITP, Partner, WLP Restructuring
Thomas Russell RITF, Partner, Piper Alderman
Moderated by Kate Conneely RITF, Partner, Cor Cordis.
Based on a presentation at the 2025 NSW/ACT Division Conference, this article explores how insolvency practitioners combat illegal phoenix activity, an almost $5 billion annual financial crime. Moderated by Kate Conneely RITF, Partner, Cor Cordis, experts Rebecca Dalais RITP, Senior Government Lawyer, Department of Employment and Workplace Relations, Glenn Livingstone RITP, Partner, WLP Restructuring, and Thomas Russell RITF, Partner, Piper Alderman, highlighted some of the investigative challenges, creative strategies for asset recovery, and critical need for funding and law reform to empower liquidators against this fraudulent activity.
Illegal phoenix activity continues to plague Australian business, which is estimated to have an economic impact on business, employees and government of around $4.89 billion annually. This pervasive financial crime is currently concentrated in industries like construction, labour hire, transport, and hospitality, affecting vulnerable and unsuspecting workers. As liquidators navigate the complex landscape of corporate collapses, identifying and understanding how to dismantle fraudulent phoenixing remains a critical task.
Moderated by Kate Conneely RITF, Partner at Cor Cordis, a panel of experts at the 2025 ARITA NSW/ACT Division Conference – Rebecca Dalais RITP, Senior Government Lawyer at the Department of Employment and Workplace Relations (DEWR); Glenn Livingstone RITP, Partner at WLP Restructuring; and Thomas Russell RITF, Partner at Piper Alderman – delved into the intricacies of investigating and unwinding illegal phoenixing. Their insights highlighted the financial costs of illegal phoenixing, the practical hurdles faced by practitioners in their unwinding, and potential avenues for law reform to better address their impact.
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