The administrator for Mesh Direct has decided to liquidate the remainder of the company after Insane Signs purchased the majority of the company’s assets last week.
The decision to wind up Mesh Direct Media Pty Limited and place it into liquidation was made at the second creditors meeting on Friday, exactly one month after the business went into voluntary administration.
The Australian Tax Office is the largest debtor to the business owed $875,419.58.
“An application for the winding up of Mesh Direct Media Pty Limited was commenced by the Plaintiff – the Deputy Commissioner of Taxation on 2 April 2024,” the winding up order states.
A hearing in the Federal Court will take place at 9.30am on Friday 17 May.
Mesh Direct went into voluntary administration last month owing almost $2 million.
Last week, prior to the second creditor’s meeting, one of the creditors, Insane Signs – based at Cardiff near Newcastle on the New South Wales Central Coast – purchased the majority of the intellectual property assets of the business as well as taking on staff and the property lease.
“It is our intention for the business to run as normal as much as possible,” Rodney James from Insane Signs told Sprinter at the time.
The assets purchased by Insane Signs are not affected by the winding up order or the liquidation and the company’s website continues to trade as a going concern under the new ownership.
An opinion piece written for Sprinter by mesh printer, Stephen Lamont from Lamont Print & Signs in Townsville highlighted the issues with discounting in the highly competitive sector of the printing market.
“In my opinion, it is a bit hypocritical to be saying that this was Mesh Direct’s fault for seeking the cheapest price, when as trade print providers, it was the very same companies who helped them get to this point by continuing to discount in the hope that more volume would eventually deliver a profit,” Lamont said.
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