FORMER liquidator Stuart Ariff could not recall details of close to $2 million in spending on credit cards associated with his company.
Mr Ariff said the “exceptional” spending had not been brought to his attention

by Susannah Moran, The Australian

He was being questioned yesterday in the Federal Magistrates Court in Sydney by David Ash, a barrister acting for Mr Ariff’s trustee in bankruptcy, CRS Warner’s Anthony Warner.

The NSW Supreme Court banned Mr Ariff from acting as a liquidator for life and ordered him to pay $4.9m compensation. But he was later declared bankrupt, based on claims for more than $11m lodged with Mr Warner. Mr Ariff was questioned yesterday on a number of bank accounts, loans and credit card payments. He said two credit cards, whose bills totalled about $1.8m over a six-year period, could have been held by contractors to his companies, who would then claim back work-related expenses.

The court also heard of two payments totalling $20,500 made by a roof insulation business to a company associated with Mr Ariff.

“And you have no idea what these payments are for?” Mr Ash asked. “No,” replied Mr Ariff, rejecting a suggestion they were a result of Mr Ariff working as a home insulator in October.

Mr Ariff was also asked about a dishonoured $515,000 cheque drawn on his personal account in February last year. Mr Ariff said it was a lot of money but he could not recall signing the cheque, and one of his staff would have filled in the amount.

“Is it possible to say you signed a cheque for half a million dollars without regard for what you were signing?” Mr Ash asked.

“Correct,” Mr Ariff replied.