13-05-2025
Two award-winning restaurants in Melbourne forced to close after racking up debts of over $1.3million
Two popular Asian fusion restaurants have shut up shop overnight after their wealthy owner sparked an investigation by the corporate watchdog.
Kekou and Klae in Richmond, Melbourne, have entered liquidation with debts exceeding $1.3million, including an estimated $50,000 in unclaimed vouchers.
Both venues have been awarded a number of accolades in recent years, both being granted a Chef's Hat prize in the Australian Good Food Guide.
Owner David Anderson, who is also the director of investment firm Falcon Capital, is currently at the centre of an ASIC investigation.
The probe was publicly announced on April 10, although the Australian Securities & Investments Commission (ASIC) confirmed the investigation began in May 2024.
The restaurants ceased trading abruptly late in April.
A notice posted on the front door of Kekou stated the proprietor had 'retaken possession of the premises' from Anderson due to 'non-payment of rent.
More than $1.3million is owed to 82 creditors, with $400,000 owed to the ATO.
Up to 12 employees are owed more than $220,000 in wages including $33,885 in superannuation, $49,125 in unpaid leave entitlements, and $98,157 in retrenchment payouts.
Unused gift vouchers accounted for tens of thousands worth of the restaurants' liabilities, with $43,956 listed for Kekou and $7,732 for Klae.
The two venues, located on Swan Street and Bridge Road respectively, also owe large sums to a series of suppliers and service providers.
Some of the largest creditors include Tyro, which is owed $335,433, along with $51,089 owed to alcohol and food supply businesses.
Liquidator Adrian Warry of Dye & Co said Klae owes over $65,000 to its sister venue, Kekou.
The ASIC investigation came after the freezing of assets belonging to the First Guardian Masterfund, an investment vehicle also under scrutiny.
Mr Anderson sits on its board.
ASIC has raised a number of serious concerns about the operations of the fund.
It alleges that approximately $274million of First Guardian's reported value comes from overdue receivables, with payments now months behind schedule.
In addition, over $23million appears to have been paid to entities claiming to provide marketing services, in a manner that 'appears contrary to representations made to investors'.
The commission also found that First Guardian invested in companies with which Anderson had either a personal or financial connection, raising questions about unmanaged conflicts of interest.
According to ASIC, investors 'may have been exposed to classes of assets that differ from what was disclosed to them at the time of making their investment', and 'may have been misled about the security of their investment and likely returns'.
The investigation by ASIC in Mr Anderson and his businesses continues.
