Two award-winning restaurants in Melbourne are forced to acquire more than $1.3 million in debt
Two popular Asian fusion restaurants closed stores overnight after their wealthy owners sparked an investigation by the company’s watchdog.
Kekou and Klae, a Melbourne suburb in Richmond, have entered liquidation with debt of more than $1.3 million, including an estimated $50,000 unclaimed vouchers.
Both venues have received numerous honors in recent years, both of which have won the Chef Hat Award in the Australian Food Guide.
Owner David Anderson, who is also director of investment firm Falcon Capital, is currently the subject of ASIC investigations.
The investigation was publicly announced on April 10, although the Australian Securities and Investment Commission (ASIC) confirmed the investigation began in May 2024.
The restaurants suddenly stopped trading in late April.
The notice issued by Kekou’s front door said the building owner had “re-owned the house” from Anderson because of “non-payment of rent.”
82 creditors owed more than $1.3 million in debt and owed $400,000 in ATO.
After ASIC investigation, KLAE (as shown in the picture) has entered liquidation
Notice posted on Kekou’s door stating that David Anderson has not paid the rent yet
Up to 12 employees earn more than $220,000, including $33,885 in pension, $49,125 in unpaid leave rights and $98,157 in layoffs.
Unused gift vouchers account for tens of thousands of dollars in restaurant liabilities, Kekou listed $43,956 while Klae’s debt was $7,732.
The two venues are located on Swan Street and Bridge Road, respectively, and are also attributed to a range of suppliers and service providers.
Some of the largest creditors include Tyro, a digital payments company that owes $335,433, and $51,089 that owes the alcohol and food supply business.
Dye & Co liquidator Adrian Warry said Klae owed his sister venue Kekou $65,000.
The ASIC investigation was conducted after the freeze of assets belonging to the No. 1 Guardian Masterfund.
Mr. Anderson is a director of the fund.
ASIC raises many serious concerns about the operation of the fund.
Kekou and Klae (pictured) in Richmond, Melbourne, entered liquidation with debt of more than $1.3 million, including an estimated $50,000 unclaimed voucher
It claims that the value reported by the First Guardian is from overdue accounts receivable and is now paid for months.
In addition, it appears that more than $23 million has been paid to entities claiming to provide marketing services in a way that is “opposite to investors’ statements.”
The committee also found that the First Guardian invested in companies that had personal or financial ties with Anderson, raising questions about unmanaged conflicts of interest.
According to ASIC, investors may have been exposed to different asset classes than the assets disclosed at the time of investing” and “may have mislead their investments and possible returns.”
ASIC’s investigation into Mr Anderson and his business continues.
The Australian Daily Mail has contacted the liquidator for further comment.
