Ansett Ticket Levy & Super what's happening now?

[Airtart]

Ansett staff owed $200m
By Jim O'rourke, Workplace Reporter
May 18 2003
The Sun-Herald

At least 10,000 former Ansett workers are still waiting for more than $200 million in unpaid entitlements, 14 months after they lost their jobs when the airline collapsed.

Some long-term employees are owed as much as 104 weeks in redundancy pay and long-service leave and may end up getting just 20 per cent of their money.

The Australian Services Union said a complicated legal case in Melbourne had halted the distribution of funds even though the Federal Government was still collecting the controversial $10-a-ticket Ansett levy from passengers.

A $10 levy on tickets was introduced to cover the cost of providing former Ansett staff with their salary, holiday and long-service entitlements, plus a redundancy payment. The amount collected reportedly stands at $340 million.

The Commonwealth is owed about $330 million for a loan to the administrators to pay employees their wages, holiday pay, sick leave and up to eight weeks' redundancy pay. Ansett administrators KordaMentha have accrued $360 million after selling and leasing assets.

In the Victorian Supreme Court, the trustees of the Ground Staff Superannuation Fund are battling to access $200 million, recouped by Ansett administrators, which it says is owed to the fund.

The union's assistant national secretary Linda White said the public thought the Ansett issue had been sorted out.

"It's gone off the public's radar, but it really is in a mire of difficulties," she said.

Research shows about 70 per cent of the retrenched Ansett workers have found work, but at a lower status or on reduced pay.

The Question is will we see any more of the Money?

[Capt_Zoolander]

I am still waiting for someone (ACTU) to tell us why we are better off after the first Administrators were "let go", because of an alleged conflict of interest. The first Administrators saw the light and were going to liquidate the Airline. Why were they replaced with M & M (who subsequently jumped with their golden parachutes from the second Administrators ,was it Andersons?) to be replaced by the third Administrators (M & M), who it has been alleged subsequently set up a new company, owned by themselves. M & M made a decision to run an Airline already decided by the first Administrators as being beyond help, the only option was liquidation. M & M then ran the Airline, while clearly insolvent at an enormous loss, further reducing our entitlements.
I read recently that someone (allegedly M & M) had a cocktail party celebrating something in Melbourne.

Well, I'm not celebrating anything, I simply want my money. I don't give a hoot about the M & M's deal with the "Commonwealth" for a loan of $330 Million.


If the only money that has been paid to anyone (except M & M) has come from the commonwealth, why are M & M getting paid at all, I am sure that the commonwealth would have been able to achieve a similar result without them.

I want to know the answers to these questions,

(1) What has the Ground Staff Superannuation Fund battle for $200 million got to do with the rest of the Staff that are owed money. I would suggest that whoever is responsible for "running off" with their $200 Million should be tracked down and thrown into the slammer.
(2) Why do the ex Ansett Staff think that getting 10% or 15% of their remaining entitlements is OK?





:* :* :*

[fruitloop]

Quote
"Some long-term employees are owed as much as 104 weeks in redundancy pay ". Yep,but have stopped holding my breath waiting for the "cash-cow"to eventually dry up !! How much we will eventually get is any-ones guess,I'm sure that the adminisTRATOR will know just when to shut the door.
Capt_zoolander
I'm with you !!I want my money !!!
Cheers

[Torres]

The ex Ansett staff will probably be very lucky if they "....end up getting just 20 per cent of their money."

Airtart, it would be interesting to see:

(a) How much the Administrators lost when they traded the company for the Tesna deal; and

(b) What the Administrators/Liquidators fees have been since the company went into voluntary administration.

That information would be freely available to any creditor or staff member.

[jupiter2]

Couldn't agree with you more guys!!
Okay, now where to from here?
Anyone with a legal background that can offer help?

[Capt_Zoolander]

The day of reckoning is upon us, nobody is about to ride in on a White Stallion to ensure the ex staff get a decent deal. If the 10,000 Staff want to see their money before it is all gone, now is the time to act. The best course of action is to invest in a decent Barrister, let me see, 10,000 staff invest $100 each = $1,000,000, take out say $50,000 for whoever wants to co-ordinate things, (I am sure there are many ex Ansett employees with these skills sitting on the dole because they are too old to re-enter the workforce, at least by some "spivs" standards). We then set up a trust account to hold the funds for disbursement to our legal team at the appropriate time.

If the administrators use the "we can't sell now" because the market is stuffed, we have all unsold assets transferred to the trust fund to be sold when it suits us and not "M & M"

Any Comments?

:cool: :cool: :cool:

[jupiter2]

Got my $100 ready....

[Uncle Festa]

I've got my $100 too. I'd be prepared to go as high as $500

It's time Eminem were held to account for decisions made during the period of their administration.

I'd like to know what the Administrators' currrent cash burn rate is as we sit and wait for our 10% . . .9% . . . 5% . . . in short, three fifths of the proverbial.

However us disaffected (former) Ansett staff whose interests Eminem are supposed to represent as creditors will require solid legal counsel.

My guess is that each deed of adminstration applicable to the Ansett entities to which Eminem were appointed Administrators indemnifies them for actions/omissions etc out of the assets of the relevant entity. I hope this is not the case otherwise the only people to make money out of this sad affair would be lawyers.

[pizza]

Heres my $100. Its interesting to hear nothing at all from the unions. During the admin period it seemed every union meeting was nothing more than a recruitment drive, especially from the boys at the top. The silence from the actu is deafening. Maybe one day we'll hear why M&M took over and are still laughing.

[Capt_Zoolander]

pizza said


"Heres my $100. Its interesting to hear nothing at all from the unions. During the admin period it seemed every union meeting was nothing more than a recruitment drive, especially from the boys at the top. The silence from the actu is deafening. Maybe one day we'll hear why M&M took over and are still laughing."


Perhaps someone from the ACTU can enlighten us to the reason that the first Administrators were "let go" due to an alleged "conflict of interest"

It has also been alleged that the reason the ACTU appointed M&M, was more to do with keeping their power base than worrying about whether the staff would be worse off, if it all fell in a heap. Was it "Bomber Beasley" that was supposed to win the election and save the day?

I think the way for us to go, is to raise the funds for legal action in stages,


Stage one

Use all the initial money collected to post a letter to the 10,000 staff asking for a donation of $100 to support legal action to recover our money. (we only need about $5000 dollars or 50 people to donate $100 each to recover the cost of the mail out)

Stage two

Use some of the subsequent money collected to follow up a request to ex-employees to cash up, (maybe only a $1000 would be required)
Yes we all know that most people are Apathetic about these things, but this strategy is probably the only chance the ex-staff have of recovering most if not all of their remaining entitlements from M&M

Memo to M&M,

"The party is over, the fat lady is singing again"

All the rest of the cash goes into the fighting fund, to employ the best Legal team we can afford, arrange interviews with newspapers, journalists etc, lobby your local Politicians, offer alternatives to a fire sale of assets, ask the Federal government to provide a "hard stand" area at Woomera to park the Aircraft, maybe they will be able to sell some of the space to Cathay, Dragonair, SIA, etc to park their Aircraft. The "Commonwealth" should look at it as a long term Investment.


:cool: :cool: :cool:

[Uncle Festa]

Captain, where do I send my cheque?

I would like the ACTU to clarify its alleged involvement in the appointment of Eminem.

In particular several questions that I would like the ACTU to answer include:

1. What was the extent, if any, of the ACTU’s role in the appointment of Eminem?

2. If the ACTU played a significant part in Eminem’s appointment, was it acting on behalf of union members only, all AN employees or all unsecured creditors?

3. If the ACTU was acting on behalf of all AN employees/all unsecured creditors:

3a. What legal instrument or authority permitted it to act on behalf of non-union employees and other unsecured creditors?

3b. What consideration was given to the rights and interests of non-union employees’ and other unsecured creditors?

3c. What other accounting firms were considered for the Administration appointment?

(Whilst I understand that a number of the major accounting firms were conflicted out given the work performed for Ansett as auditors, taxation consultants etc, there were other firms who had the skills and resources necessary to manage a complex administration such as that presented by Ansett.)

3c(i) What were the advantages of Eminem as opposed to say, Ferrier Hodgson? (For example, (a) experience in managing an airline administration or (b) negotiating non-refundable deposits as part of the disposal of significant assets/entities?)

We can only speculate as to the outcome that may have eventuated had PwC been retained.

However could it have been any worse . . . . . .?

[jupiter2]

Can anyone highlight the steps that need to be taken to initiate a Royal Commission.
The Ansett collapse was the biggest in Australia's corporate history, so wouldn't it be worth finding out once and for all, why it happened?

[Groaner]

Just an FYI...

You will find that the Administrators was never Arthur Anderson (remember them?), but were the individual M&M's. I think they resigned their Anderson partnerships to undertake the AN administration. Their AN correspondence always was devoid of Anderson's name. I suspect that allowed them to easily survive the Anderson collapse. That also means you can't pin anything on the firm, just those 2.

I suspect you'll find that they don't have any real personal assets, but strangely their relatives will have title to their houses, cars etc.

So just a bit of advice to play the ball, not the men - otherwise you definitely won't get any joy.

And good luck...

[Ralph the Bong]

Agreed. Royal Commission:suspect:

[TheNightOwl]

I still don't know what, if any, payout I will get, but I now am aware of how much the Administration thinks I am owed. On Tuesday last, I had a letter from them, Proof of Debt", it is titled, delineating the sums owed, amount already paid, (SEESA), and amount owing. Nothing to do with the outstanding 30% Super still to be paid. Now all I have to do, like all others, is wait and see!
Isn't life fun!!

Kind regards,

TheNightOwl.

[kreugers]

NightOwl,

I too thought it was rather odd that we were being asked to confirm our outstanding entitlement...............and then sign off on it. Did they sell the accounting system as part of the administration ?? Nah that would probably be considered a progressive action.

Not sure about whether to sign. You're either owed the money or you're not. Not likely to get it anyway.

[Torres]

Managers and Liquidators are always individuals (not firms/companies) and appointed personally, hence the appointment of M&M.

A Royal Commission won't happen so stop being hopeful.

It may well be in the interest of all Ansett staff to form a collective or association to pursue their rights and scrutinise any actions by the Liquidators.