Edge Technology's pending liquidation is finally a reality and creditors can now begin the arduous task of suing former directors Johnson and Phynia Wang, whose whereabouts are still unknown.
The failed company's administrator, Armstrong Wily & Co, informed a creditor's meeting of the liquidation on Tuesday.
All the major creditors were present at the meeting, including representatives from the trade indemnity insurers, Mitsumi Singapore, and Microsoft, which holds the largest share of the loss, at approximately $10 million.
Armstrong Wily's Alan Topp commented that legal advice was being sought on how to go about suing the Wangs but "the obvious complications are in suing someone who is no longer in the country".
Topp said that liquidators have been granted permission to chase the Wangs personally on the basis of $3 million in loan accounts which were drawn from the company, and claims against them for in-solid trading.
In response to enquires on KTX product warranties, Topp said he has been approached by a warranty company interested in taking over the warranties on the KTX brand but "in reality warranty claims will represent a small amount of the claims".
Edge Technology, which collapsed in June, owes more than two hundred individual creditors of varying levels more than $35 million.
Newcastle company OMB Computer Wholesalers, Edge's only trading partner at the time of going bust, has been closed down. Edge was OMB's only supplier and the company had no credit supplier to trade the business independently. Topp said that all OMB employees will be paid out but no other money will be seen from the wind-up.