A host of failed companies linked to Sydney car wash king Anthony Sahade has once again put colourful liquidator Andrew Wily in the sight of the corporate watchdog.
Mr Wily, most famous as the former insolvency go-to-man for alleged fraudster Ian Lazar, faces action from the Australian Securities and Investments Commission that could see him banned from acting as a liquidator.
ASIC has launched court action against Mr Wily and his former colleague David Anthony Hurst over concerns they have not properly run the administrations of 12 companies that provided services to Sahade's Crystal Carwash chain.
Mr Sahade, and his car-wash chain, have become well known in recent years after a high profile battle between the family behind the company, the Sahades, and their neighbours on Australia's richest street, Wolseley Rd, Point Piper.
ASIC is seeking orders that Mr Wily and Mr Hurst be prohibited from practising as registered liquidators for such period as the court sees fit over concerns over the conduct of the liquidations including a lack of independence and a failure to disclosure potential conflicts.
The regulator is also concerned about the alleged failure to report to ASIC suspected shadow directors and offences underlying suspected illegal phoenix activity.
It is also alleged Mr Wily and Mr Hurst failed to undertake basic investigations into the companies' affairs.
Mr Wily issued a statement saying he intended to "vigorously" defend the allegations but declining to comment further citing the court proceedings.
The companies in question provided either administrative, car wash and cafe staff exclusively to Crystal Carwash Cafe, the regulator said in a statement.
Mr Wily had previously conducted the liquidation of seven other companies that had also provided carwash and/or café staff exclusively to Crystal Carwash, according to ASIC.
Mr Wily who is a partner of Armstrong Wily has been contacted for comment. Mr Hurst, who previously worked for Armstrong Wily but now works for Hosking Hurst have also been contacted for comment.
In 2006 Mr Sahade was filmed throwing rocks at his neighbour's property while another neighbour took out a restraining order against the businessman.
Mr Wily has previously been the subject of a spray from Senator John Williams who used parliamentary privilege to accuse Mr Wily and Mr Lazar of unfair dealings – allegations both me deny.
The ASIC matter has been listed for directions on February 9.
