Administrative Review Tribunal overturns Richard Auricht’s liquidator registration cancellation and orders five-year suspension from 23 June 2023

The Australian Securities and Investments Commission (ASIC) announced that the Administrative Review Tribunal (ART) has set aside the registered liquidator disciplinary committee’s decision to cancel the liquidator registration of Richard Ernest Auricht and substituted a five-year suspension commencing on 23 June 2023. ASIC has given effect to the ART’s decision by suspending his registration. The committee had cancelled Mr Auricht’s registration following findings that he drew remuneration without creditor or court approval, failed to lodge documents with ASIC, and did not have the experience, knowledge and abilities to act as a liquidator. The ART agreed that Mr Auricht drew remuneration without approval, failed to comply with reporting obligations to ASIC, and lacked capacity to perform satisfactorily the functions and duties of a liquidator, and held that later seeking court approval for remuneration did not remedy drawing remuneration without a determination. It also rejected an argument that ASIC should have intervened when he sought court approval before the disciplinary referral, noting ASIC had no obligation to participate in the Supreme Court fee approval application. The ART considered a five-year suspension was more appropriate because the conduct did not involve dishonesty and Mr Auricht had not previously been subject to disciplinary action.