Clive Palmer to face court over Qld Nickel – by Tracey Ferrier (The Australian – May 18, 2016)

Clive Palmer and his nephew have been ordered to face court to answer damning allegations about their management of Queensland Nickel before it collapsed.

The Federal Court has granted a request by liquidators FTI Consulting to question the federal MP after FTI earlier said there was evidence he’d acted as a shadow director and used Queensland Nickel to bankroll his other business interests.

The court has also ordered Mr Palmer’s nephew Clive Mensink – Queensland Nickel’s sole appointed director – to appear, along with former managing director Ian Ferguson. The hearings will likely be held next month and are expected to range over damning allegations FTI made in its April report to creditors, who are owed hundreds of millions of dollars.

In the report, FTI said there was evidence of gross, and possibly criminal, corporate misconduct by Mr Palmer and Mr Mensink. It said there was also evidence Queensland Nickel may have been trading while insolvent and that Mr Palmer used the company as a “piggy bank” to fund other ventures.

Also on Wednesday, the Federal Court approved the appointment of three special purpose liquidators – Stephen Parbery, Marcus Ayres and Michael Owen.

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