Former Teac Australia boss, Gavin Muir, has been arrested and released on bail as part of an ongoing investigation by the Australian Securities and Investments Commission (ASIC).
The Queensland resident was charged in Melbourne Magistrates Court with 11 counts under the Corporations Act, including seven counts of failing to act in good faith in the best interests of Teac Australia; two of dishonestly using his position as a director of Teac Australia; and two of falsifying company books.
The electronics vendor was sold to Singaporean interests in 2007 after going into administration in 2005. Representatives of Deloitte Touche Tohmatsu were appointed to look after the interests of Teac's local unsecured creditors, who were said to be owed more than $80 million.
An ASIC release stated that the offences Muir was charged with relate to conduct following the discovery of a $6 million shortfall at settlement on the sale of Teac Australia's Port Melbourne premises to Muir's private company, Bay St Corporation, in May 2002.
Muir, who had voluntarily presented himself for arrest, was granted bail with conditions including the surrender of his passport, not associating with any co-accused, and reporting to a police station three times a week.
The Commonwealth Director of Public Prosecutions will be prosecuting the case against Muir with a mention date set for the Melbourne County Court on June 21.