Receiver refers publisher case to SFO

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The Receiver for Mediaweb – the company set up in 2011 by Toni Myers & John Clark to take over assets of 3media Group after it failed in 2010 – has referred the case to the Serious Fraud Office.

Earlier, an email leaked to the press revealed that McDonald Vague found anomalies in Mediaweb’s financial records. The email, from McDonald Vague’s Jared Booth, was intended only to be read by those involved in the tender process.

Booth said Mediaweb had not supplied all of its invoices for advertising services, products or value supplied to customers. On the basis of this omission and other financial discrepancies, he said the receivers believed that the information provided by Mediaweb was based on misleading information, including the use of false or misleading invoices.

At the time, Booth said that he was unsure of the full extent of corporate dishonesty, but that he deemed it significant enough to bring to the attention of all prospective buyers. Upon further investigation, it seems that it was significant enough to justify the matter being handed over to the SFO.

Mediaweb’s debt when it went under (including $1.1 million owed to Heartland Bank) was close to $2.5 million.

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