Liquidator Plans Legal Action Against Kleenmaid Director

The liquidator of failed whitegoods company Kleenmaid may take legal action against one of the former directors, ABC News reported. The matter involves six Kleenmaid franchises in Queensland, New South Wales, Victoria and South Australia. Kleenmaid, based on Queensland's Sunshine Coast, went into voluntary administration in April owing about $80 million to creditors. Bradley Young owns Kleenmaid franchises in Jindalee, Toowoomba and the Gold Coast in Queensland, in Warner's Bay in NSW, Mitcham in Victoria, and in Marion in SA. A spokesman for the liquidator Deloitte says Mr Young owes $2 million in franchise fees and unpaid floorstock, fixtures and fittings. Letters of demand have been sent to Mr Young concerning stock that is being sold without the funds being passed onto the liquidators. Deloitte has received no response from Mr Young and is now looking at taking out a court injunction to protect creditors' interests. Read more.