MELBOURNE: Biron Apparel has been convicted and fined $5000 in the wake of being caught failing to comply with the Corporations Act.
The publicly listed company has been convicted of three counts of failing to lodge financial reports with the Australian Securities and Investments Commission (ASIC) and two counts of failing to hold annual general meetings.
Biron Apparel pleaded guilty in the Melbourne Magistrates Court to the five charges which related to the financial years 2006/07, 2007/08 and 2008/09.
Biron Apparel director George Karafotias said the convictions were the result of actions taken by the company's previous directors.
“Biron has appointed new directors in the last six to nine months. Those convictions were a result of the previous directors not fulfilling their job,” Karafotias said.
He added Biron Apparel's new board was “doing everything we can” to lead the company towards successful future ventures.
ASIC revealed it brought the charges against Biron Apparel as part of a wider campaign to take action against companies that fail to comply with their reporting and shareholder obligations under the Corporations Act.
ASIC said failures to lodge financial reports and hold meetings restrict shareholders' knowledge of a company’s financial position, future prospects and viability.
Biron Apparel is a fashion wholesaler and retailer. Brands formerly in its portfolio include men's retail brand Ed Harry and women's apparel wholesale business Physico Clothing Company.