Hotelier Paddy Coughlan has been handed a ruling from the Australian Securities and Investments Commission (ASIC), barring him from managing corporations for two years.

The ruling comes in response to Coughlan’s involvement in three separate hospitality businesses between 2015 and 2022, which all failed. Coughlan was the sole director of the three companies which each operated an inner-Sydney pub: The Lady Hampshire Hotel in Camperdown; The Lord Gladstone Hotel in Chippendale; and The Botany View Hotel in Newtown.

In a statement released late last week, the corporate regulatory body explained:

“ASIC found that Mr Coughlan acted improperly and failed to meet his obligations as director when he:

  • lacked oversight of the financial health of the entities;
  • failed to ensure payment of the super contributions guarantee for Bourke St [Lord Gladstone] and Pub 4 [Botany View Hotel]; 
  • failed to ensure the payment of tax and outstanding tax liabilities of all entities; and
  • failed to provide documents to support the transfer of monies between related parties/entities in relation to Pub 3 [Lady Hampshire] and Bourke St.”

ASIC has disqualified Coughlan from managing corporations until 28 April 2024.

Prior to embarking on his own directorship of hotels, Coughlan directed Riversdale Group, owned by  Geoff Dixon, John Singleton and Mark Carnegie. After the group’s assets were broken up and Riversdale Group ceased operations, Coughlan set off on his own through the Bourke St company. He left pub operations behind in 2019 to focus on alcoholic lemonade Frank Strongs, before returning in mid-2021 with pub fund Ludlow Hospitality.

Coughlan confirmed to Australian Hotelier that he is appealing the ASIC decision.

“We’ve lodged an appeal with the administrative appeals tribunal and are awaiting a hearing date.”

Leave a comment

Your email address will not be published.