Latest news with #EsotericFestival
ABC News
11 hours ago
- Business
- ABC News
Victoria's Esoteric Festival in voluntary administration owing millions in debt
The future of troubled Esoteric Festival in country Victoria is uncertain unless someone volunteers to buy its parent business, along with millions of dollars of debt. The multi-day electronic music, arts and lifestyle event, outside tiny Wimmera town Donald, about 290 kilometres north-west of Melbourne, was cancelled in March this year the day before it was to start. About 11,000 festival goers — including 3,000 volunteers given free tickets — were locked out just before the Labour Day weekend when Buloke Shire Council officers recommended the event's permit be denied due to health and safety concerns. Now the company behind the eight-year-old event, Esoteric Festival Pty Ltd, has gone into administration owing ticketholders, creditors and employees more than $2.8 million, Australian Securities and Investments Commission (ASIC) documents show. Worrells Solvency and Forensic Accountants (Worrells) has been appointed as the company administrator. A Worrells spokesperson said in a statement the company entered voluntary administration on June 11 as a result of this year's festival cancellation. They say administrators gathering information about the company's financial position are asking creditors for "patience as we work through the next steps". In a statement to creditors, the administrators say that, unless there is an offer from another party to "restructure the company or purchase the business, [it] will not be in a position to hold further festivals." ASIC documents show Esoteric Festival Pty Ltd owes employees, ticketholders and contractors more than $2.8 million. About 8,000 ticket holders who paid between $355 and $375 each are owed a combined total of more than $2.2 million. Other creditors, including an excavation company, food producers, audio technicians, a lighting company and a carpenter are $540,000 out of pocket. And the company owes more than $100,000 to its employees in wages and entitlements. ASIC documents show Esoteric's debts far outweigh its assets. The company has listed its largest assets as $55,000 in cash in a bank account and a $20,000 lawn mower. Festival director Sam Goldsmith was contacted for comment. Brisbane-based DJ Renan Inal, also known as mlDium, was set to play at this year's festival. He learned of the cancellation when he arrived at the venue. Mr Inal said he had decided to forfeit his artist fee to support the festival. "[I'm] noticing a pattern of loss of quality cultural events and feeling for the people who have a stake and have been working with these events, from traveller to local artists. "[It's a] tragedy to see it all laid to waste from bureaucratic red tape."
Daily Mail
a day ago
- Business
- Daily Mail
Embattled organisers of 'bush doof' musical festival served one final blow after event was rocked by mass gastro outbreak and last-minute cancellations
The company behind a popular 'bush doof' festival which made headlines last year following a mass gastro outbreak has gone bust. Esothreads, the business that operated the Esoteric Psychedelic Circus Festival, officially filed for insolvency last Wednesday. The 2025 edition of the festival, scheduled for the Labour Day long weekend in Donald, northwest Victoria, was cancelled at the last minute following a decision by the Municipal Building Surveyor of the Buloke Shire Council. Buloke Shire Council released a statement explaining it had approved a general permit for the Esoteric Festival at a meeting just days before the event. However, the required safety permit, known as a Place of Public Entertainment Occupancy Permit (POPE-OP), was denied the following day. The permit was refused by the council's municipal building surveyor, who works independently despite being employed by the council. The surveyor listed 33 reasons for the refusal, and the council clarified that councillors had no power to overturn the decision. The news of the cancellation broke as over 2,000 attendees began to arrive. Sam Goldsmith, the managing director of the festival, said the cancellation was 'devastating', and was 'bureaucracy and politics gone mad'. 'Since 2017 this event has been a lifeline for Victoria's regional tourism and live music scene, injecting more than $15million into the local economy and supporting thousands of jobs in the Wimmera Mallee region,' he said. It has been reported that the cancellation resulted in a $2million loss for Esothreads. Scott Andersen and Nathan Deppeler from Worrells were appointed administrators of the business. The pair warned in a recent report that the festival's future was in doubt unless it was able to find a vital lifeline. 'In the event there is no interest from any party to propose a Deed of Company Arrangement to restructure the company or purchase the business, the company will not be in a position to hold further festivals,' the report stated. Some attendees affected by the cancellation are yet to receive refunds, which are now the responsibility of the administrators to process. And it's not the first time Esoteric has made headlines in recent years. In 2024, the event was at the centre of a public health scare after hundreds of attendees were struck down with gastroenteritis. Victoria Health confirmed that at least 260 people reported symptoms of gastro, with some cases linked to the more severe Shigella bacteria. Shigellosis, the infection caused by Shigella, can trigger a sudden onset of symptoms including severe diarrhoea, fever, nausea, vomiting, and painful abdominal cramps. Esoteric is just one of many Australian music festivals that have stopped operating. Dozens of festivals have shut down since 2022, including well-known events like Splendour in the Grass, Groovin the Moo, Good Life, and Souled Out. Creditors will meet with the Administrators of Esoteric next week.
