MICHAEL SKLOVSKY PTY LTD (FORMERLY TRADING AS ISHKA) (SUBJECT TO DEED OF COMPANY ARRANGEMENT) ACN: 005 417 327 (THE COMPANY)

Announcements

ISHKA’ FORMER ADMINISTRATORS’ STATEMENT

As you may be aware, Barry Wight and I were appointed administrators of the Company on 20 February 2020.

Business Sale Deed and appointment of Deed Administrations

Effective 5 June 2020, the assets of the Company, including the business operating as Ishka, were sold to Sahasrara Pty Ltd (trading as Ishka) (Sahasrara) under a Business Sale Deed (BSD). Accordingly, Sahasrara is now trading the business of Ishka. The Director of Sahasrara is Toby Darvall, who was also the director of the Company. 

The sale formed part of the Deed of Company Arrangement (DOCA), which was approved by creditors of the Company at a meeting held on 15 May 2020. 

It was also resolved at the meeting of creditors that Shane Cremin and Geoffrey Handberg of Rodgers Reidy be Deed Administrators of the Company. Their appointment became effective on 5 June 2020 at 12.35pm. At that time, the Deed Administrators took control of the Company, the Administrators’ ceased to be in control of the Company, and Barry Wight and I ceased to be Administrators of the Company. 

Outstanding Customer Orders

Throughout the period in which Barry Wight and I were in control of the Company (i.e. 20 February 2020 to 12:35pm on 5 June 2020) (Administration Period), enquiries from customers of Ishka regarding outstanding orders were attended to and discussed with management of the Company, including Mr Darvall, for their recommendation for immediate action.

The Company’s online order fulfilment is an issue Barry Wight and I worked with the Company’s management to rectify, which included provision of additional resources and funding required to complete these orders (amongst other measures taken).

In May 2020, Barry Wight and I made available funding to process refunds as requested by the Company’s management for them to facilitate refunds. 

We have been informed by customers that staff and representatives of the Company have indicated refunds would be available to them in mid-June and that delays in receiving payments were a result of Barry Wight and I withholding payments. We advise this position is incorrect.

Sahasrara is required to fulfil any customer orders that were outstanding as at 5 June 2020 (or provide refunds as the case may be).

The Former Administrators are also aware of certain incorrect and unfounded comments posted on the Company’s Facebook page that indicate that Barry Wight and I are holding onto the money and not paying refunds that they should be. As noted above, Sahasrara is required to fulfil these orders (or provide refunds). Any funds being held by Barry Wight and I will be dealt with in accordance with the DOCA as approved by creditors of the Company, and in accordance with the provisions of the Corporations Act 2001 (Cth).

Process to Obtain a Refund

Enquiries regarding refunds should be directed to Sahasrara via its website at www.ishka.com.au so that they can be dealt with on a case by case basis.

Enquiries regarding this statement can be directed to Samantha Wulff of Cor Cordis at swulff@corcordis.com.au.

Rachel Burdett
Former Joint and Several Administrator