ASIC has disqualified Sydney-based director Dominique Grubisa from managing corporations for 18 months following her involvement in the failure of two companies.  The disqualification took effect on 24 May 2024.

Ms Grubisa was the sole director of DGI Accounting Pty (DGIA) from 10 April 2018 to 26 August 2022, and DGI Debt Management Pty Ltd (DGID) from January 2019 to 26 August 2022. DGIA and DGID were part of a group of companies that provided a range of services. DGIA provided accounting services and DGID provided debt management services.

ASIC found that Ms Grubisa fell short of the standards expected of a company director and, as well as engaging in insolvent trading, failed to exercise her powers and discharge her duties as a director of DGID and DGIA with the degree of care and diligence required.

At the time of ASIC’s decision, the two companies owed a combined total of about $305,623 with the main creditor being the Australian Taxation Office.

On 22 May 2024, Ms Grubisa sought a review of ASIC’s decision with the Administrative Appeals Tribunal (AAT), including a stay of the decision and confidentiality orders.

On 3 June 2024, the AAT granted an interim stay of ASIC’s decision pending resolution of the stay and confidentiality applications.

On 22 July 2024, the AAT ordered a stay of the decision, which was agreed between the parties until 1 August 2024, subject to conditions including that Ms Grubisa may only remain a director of a single company, Master Wealth Control Pty Ltd (MWC), for limited purposes. On 30 July 2024 the stay of the decision was extended until 18 October 2024.

On 23 July 2024, the AAT dismissed Ms Grubisa’s confidentiality application.

In disqualifying Ms Grubisa, ASIC relied on supplementary reports lodged by Danny Vrkic liquidator of DV Recovery Management. ASIC assisted Mr Vrkic to provide his reports by approving an application for funding from the Assetless Administration Fund.

Background

On 19 July 2024 the Federal Court made orders against MWC and Ms Grubisa in proceedings brought by the ACCC, including orders that Ms Grubisa pay $1 million in penalties and be disqualified from managing corporations for five years [see ACCC MR].

Section 206F of the Corporations Act allows ASIC to disqualify a person from managing corporations 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 debts.