THE firm handling the development of Wagga’s proposed $400 million wholesale trade centre has claimed there is “nothing wrong” despite the Australian Securities and Investments Commission (ASIC) applying to have it deregistered.
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A notice posted on ASIC’s website, dated May 21, states the regulatory body is proposing to deregister ACA Capital Investments – the Wuai Group’s Australian representatives – under section 601AB of the Corporations Act.
Under the act, ASIC may deregister the company on or after July 21.
It has also emerged that ACA Capital Investments had previously been deregistered by ASIC in mid-2009, with its registration reinstated in April, 2011.
A spokeswoman for ACA Capital Investments told The Daily Advertiser yesterday that the company was aware of the issue but claimed it was the result of a misunderstanding.
“There is nothing wrong with our company,” the spokeswoman said.
“ASIC has said there is nothing wrong.”
ASIC did not provide specific information relating to ACA Capital Investments’ proposed deregistration when contacted by The Daily Advertiser earlier this week.
The ACA Capital Investments spokeswoman said the company’s reporting obligations to ASIC were handled by an external accountancy firm, which is in the process of looking into the issue.
Member for Wagga Daryl Maguire, who has been a key driver of the wholesale trade centre project and the relationship between Wagga and the Wuai Group, said he had been personally assured by the chairman of ACA Capital Investments that there was no problem.
“My understanding is that in fact the company is solvent and the company’s accountants have been directed to make inquiries as to why (the notice has been issued),” he said.
“There are all sorts of reasons why these things can happen.”
Wagga City Council last week conditionally agreed to sell the 13.69-hectare block of land slated for the trade centre development to ACA Capital Investments, subject to negotiation and due diligence being undertaken by both parties.
