Killarney

Current Operation

  • Closed 08/02/2010.    

Location     

  • Killarney is located in the far southern region of South East Queensland within 5km of the QLD / NSW border.
    • Located Brosnan Road, Killarney, 2 hours drive from Brisbane CBD43
  • Killarney’s major closest small town is Warwick, population of approximately 15,500 people1.
    • Warwick is located 30km Northwest of Killarney
  • Killarney’s major larger towns are Toowoomba 100km north and Brisbane 130km to the North East1.

Australia. Killarney 06.04.2017

Killarney. QLD. 06.04.2017

Location relative to other abattoirs across Australia

abattoirs_edited-1  Location of Australian Abattoirs

How this map works.
This is a google engine layered map. At the moment it consists of 7 layers. By clicking on the box on the right hand side of the layers names it will illustrate the location of the abattoirs.

This is a work in progress and is not a complete list of all abattoirs that have operated in Australia or are currently operating.
Locations are approximate and are in relation to the closest town to which they are addressed.

The same abattoir site may appear in two different lists.

Use this link to access the Google map Australian Abattoirs locations.

 Location of Australian Abattoirs      

Owner

  • Hancock Family. 1976 – 20088
    • Roly Hancock8.
      • sons of Roly, Rohan, Hector and Tony8

 Operation

grant thronton receivers.

  • Aus-meat Accredited Establishment list at July 199764
    •  as a domestic abattoir. Accreditation number #0022Q
    • Operated as Killarney abattoir
      • Processing Beef, sheep and pigs
  • Aus-meat Accredited Establishment list as at 18/07/200868
    • as a domestic abattoir. Accreditation number #0022Q
    • Operating trading name – KA Operations Pty Ltd
    • Processing beef, sheep and pigs
    • Rating – A
  • Aus-meat Accredited Establishment list as at 18/03/201065

 History

1976

  • January 17. Killarney abattoir begins operation under Roly Hancock8
    • Staff of 15 men8

2000

  • Facility is taking a break only over 3 public day holidays of Christmas period2

2004

  • December. Plant rolls back working hours from 38 hours per week to 30 hours per week4
    • Seasonal shortage of stock is the main reason4
      • drought breaking rains  in the region
      • lowest level of sheep numbers in Australia this decade
      • Australian dollar peaked at record highs
    • Production is usually offset by higher returns for by products such as hides, tallow and meat meal4
      • High dollar exchange has made exports actually worth less
    • a lift in the Australian dollar will hopefully lead to a short reduction in working time4

2006

  • January. Warwick town shire is considering tighter water constrictions if levels in reserve drop too low5
    • Killarney abattoir bores have not been considered in any proposals at this time
  • Feedlot application for 999 standard cattle unit capacity (SCU) located North branch road at Warwick is refused by council6.
    • Objections had been citing concerns of odour, water supply and conflict with rural residential character of the district6.
    • New application is made for 499 SCU6.
  • Feedlot application for 999 SCU at Loch Lomond (10km west of Killarney) is approved by council7.
    • No objections are made against the proposal7.
  • August. MLA conduct a research project to look at the collection of carcase weight and information to utilise for computerisation and ability to relay information to the producer, processer and wholesaler67.
    • system must be compliant to export standards.

Analysis of Information flows and implementation of an e-business solution for Killarney abattoir. Project P.PIP.OO79. D. Bowler. August 2006

MLA report 2006. Pg 11

Source. MLA report P.PIP 0079. Inside the boning room. Pg 11

2007

  • January. Feedlot application for 1,700 SCU located at Loch Lomond  is sought to be built on the property ‘Belvedere’6.
    • 1km from the previous proposal approved in late 20067.
    • ‘Belvedere’ 440 ha property purchased by Gold Coast based company ‘ Professional Investment Cattle’6.
      • subsidiary of ‘Professional Investment Holdings’6.
        • Licensed dealer in securities with $12.5B under management6.
    • Feedlot would turn off 170 cattle after feeding for 70- day period, to be processed at Killarney abattoir6.
      • represent a 15% increase in cattle processing6.
        • “Help to ensure economic future” Killarney CEO Hector Hancock6.
    • Road works upgrades would be required to accommodate semi-trailer turning movements6.
    • Protests are held against the proposal citing smell, devalued properties, noise, building restrictions, dust and Condomine river pollution7.
      • Area was a hub for life-stylers and retirees7.

2008

  • January 21. Announcement is made of sale of Killarney abattoir to Dudley Leitch8
    • Killarney abattoir sold for $5.1M 62
    • Dudley Leitch already owns another abattoir facility at Pittsworth8
      • 5km South west of Toowoomba
    • General manager of operations – Hector Hancock (of previous ownership)8
  • Sale of abattoir occurred in conjunction with a separate purchase of Condomine River meats8
    • Included property ‘Berrima’ and feedlot of 5,000 head capacity8
  • Sale of abattoir was never advertised. Roly Hancock wished to take a backwards step from the operations8.

Map proximity to Pittsworth 06.04.2017

Source. Hema Maps. Showing Proximity of Pittsworth abattoir south west of Toowoomba to Killarney abattoir near NSW QLD border. approximately 120km apart.

  • Dudley Leitch came into business success with gold discoveries in Victoria, listing ‘Perseverance Company on the Australian stock exchange in 19878.
    • shares rocketed from 25c to $13 in 4 months8.
  • Abattoir will capitalise on 2 of its by -products that have doubled in value recently8
    • Tallow, base for soaps and cosmetics, bio-diesel source8
      • $300 / tonne to $1,000 / tonne8
    • Meat-meal, replacing grain in diets for pigs and chooks8
      • doubled price in last 3 years8
  • Machinery will be installed to ensure the retention of more tallow8
  • Abattoir currently employs 179 people8
  • Abattoir capacity has the ability to process daily8
    • 400 cattle
    • 100 pigs
    • 1,100 sheep and lambs
  • “Half of the staff I’m related to and the other half I grew up with, We didn’t want to sell to just anyone but we feel Dudley is genuine, caring and recognises the value of our workers and we are confident he will look after our family at the abattoir” Hector Hancock8
  • June. 2008 season has been very wet in most parts of QLD causing stand-downs and in most places, the plants starting dates were delayed3
  • New owners will continue to work on working agreements and work with union3
  • Expectation that a new Enterprise agreement will be negotiated towards the end of 20083
  • Australian Bureau of Statistics (as at 30/06/2008) estimate Australia’s sheep flock is down 10% (fallen by 8.78M)51
    • Lowest Australian sheep flock since 191651
    • QLD record a lowering of 3.96M head51

2009

  • June. Warwick saleyards receives a record high price of $84.50 for butchers merino’s51
    • sold to Killarney abattoir51
    • competition for some sheep came from Fletchers International (Dubbo)51
  • Currently very positive for sheep producers due to 51
    • sheep prices increasing51
    • low stock numbers 51
    • concern for future over supply by wool growers51
      • meat processors anticipated shortfall in sheep availability during winter months51
  • July. During the last 12 months 70%, 140 employees have undertaken some form of on-the-job training9.
    • All levels of the workers from managers to newly -recruited school leavers9.
    • Aim was improve training opportunities and have skills formerly recognised9.
    • Technology advances and OHS has placed increased pressure on people to undertake formal training9.
  • Leitch Pastoral Group owned meatworks employ 190 locals9.
    • including 50 casual staff9.
  • It is claimed 42 employees lost their jobs at the Killarney and Pittsworth plants22
  • Dudley Leitch is ranked in QLD top 100 rich list53.
    • #80 $109M53.
  • September. Dudley Leitch believes he has discovered potential to revolutionise the meat processing industry10.
    • Transforming animal by-products into organic fertiliser10.
    • Intends to develop the organic fertiliser and test it extensively on their own properties10.
    • Using methods on the properties to stop degradation of farming land10.
  • Organic product will put carbon back into the soil with high phosphorous10.
    • Utilises natural products that make the soil super-absorbent with combined with nitrogen and phosphorous10.
  • Commercialisation of the product will incorporate intention to float a public company in 201010.
  • Leitch group currently own 52,600 ha in the region10.
    • intensively grazing10.
      • 100,000 meat ewes
      • 3,000 nanny goats
  • Temporary job losses occur for a month as facility is shifted from mutton to young cattle and prime lambs10.
    • 10-12 people will be laid off10.
      • Offered positions on other properties of the company10.
  • Killarney markets are mainly into Sydney where there is heavy competition with exporters10.
  • Local markets will now be the focus10.
    • bone more lamb and young beef10.
      • output will be a higher quality product10.
  • Pittsworth facility has undergone recent $6M renovations10.
    • New rendering plant that cost $4M10.
  • New rendering plant is being considered for Killarney10.
    • Current process takes 12 hours10.
      • new facility would take 45 minutes10.
        • Tallow quality is better10.
  •  Editorial article in Warwick Daily applauds the long-term business investment in the region of operators such as Dudley Leitch11.
    • Other regions of QLD are reliant on the mining boom11
    • Areas of agriculture require  long-term investment11
  • October. Shortage of suitable cattle for slaughter is causing loss of production at the facility12
    • John Dee (Oakey QLD) is similarly affected, missed 1 production day12
  • Contributing factors causing supply problems12
    • Seasonal conditions12
      • Stock are not finished as well12
    • Rising Australian dollar12
      • Places pressure on price causing some plants to offload product into the domestic markets12
  • Leitch Pastoral Operations manager – Rob Doro12
  • Cattle markets had tightened recently making it difficult to source livestock12
  • Killarney is committed to operating full kill 5 days per week, throughout the year12
  • Wallangarra (NSW) is temporarily closed due to a shortage of sheep13
    • Facility was planning to modify its plant to equip as a beef chain but this would take 9 months to complete13
  • December. Rumours are quashed by Dudley Leitch that the Killarney abattoir is in financial trouble14
  • Recent restructuring at the abattoir had cost 18 people their jobs14
  • Forward contracts had been introduced14
  • Negotiations are ongoing with the unions14
    • Enterprise agreement for Pittsworth abattoir and Condamine river meats.14
    • New enterprise agreement for Killarney would occur in early 201014
  • Renovation of the waste-water ponds was occuring14
  • Development talks were occurring in regards to the compost material14.
  • Clearing sale of some machinery items were to be sold on December 19 owned by Dudley Leitch14
    • 20 properties had been purchased in the last 3-4 years and a large volume of old machinery had accumulated14
  • Rumours had been concerned with how well the Killarney abattoir was running
    • Annual Christmas party had failed to occur14
    • Rumours had surfaced that Killarney production was slowing to concentrate on Pittsworth plant14
  • Loss of Killarney as an employer would be devastating for the town14
  • Hancock family have officially severed all ties with the Killarney plant14
    • Split had been amicable14.

2010

  • February 8. 240 workers are stood down from Killarney and Pittsworth abattoirs15
  • Both meatworks would have suspended operations15
    • including wholesale and feedlot arm Condamine River meats15
  • Management say abattoir is not closed and they have not sacked anyone15
  • Stand down was a result of current economic climate15
    • competitive marketplace a factor16
  • “The meat industry is a difficult environment at the best of times and this has been a particularly tough period” Rob Doro. Leitch Pastoral Group operations manager.15
  • Announcement of stand down comes only 2 months of assurances the abattoir wasn’t in financial trouble.15
  • Further announcement is expected to occur 12/02/201016
    • Management were confident of the plant re-opening, staff were not16.
  • Pittsworth residents said closure of the Pittsworth abattoir would be a massive blow to the community17.
    • Pittsworth currently employed 110 people17.
  •  Killarney currently employ 130 workers18.
  • Condamine River meats, uncertain of number of employees stood down18.
  • Meatworks would continue to operate with skeleton staff18.
  • Leitch Pastoral group would ensure employees were paid entitlements18.
  • Outstanding debts to Leitch pastoral were being actively pursued to meet creditor obligations18.
  • Killarney had been the regions largest employer for 30 years18.
  • Yangan abattoir was receiving enquiry from wholesale and retail butchers desperate to secure kill space in wake of the Killarney closure18.
    • Yangan didn’t have the infrastructure to process more stock18.
      • currently at 70% kill capacity18.
        • To increase capacity use would require significant increase in the workforce18.
  • February 12. confidence increases for the meatworks re-opening due to the fact 800 sheep are in the abattoir yards19
    • Management say the stock have been in the yards since the initial shutdown19
      • Stock have been on feed and water for the duration19
  • Announcement is made that the closure of the Killarney and Pittsworth abattoirs will continue in-definitely20
  • Dudley Leitch is confident the plant will re-open20
  • Grant Thornton, Brisbane based management consultants are hired to begin a debt collection program20
    • Expected to accelerate recouping of debt owed
  • Government provide assistance packages and support to employees of the facilities21
    • Jobs Assist program to assist employees to look for other positions21
    • Working with the unions to provide accelerated Centrelink entitlements
  • An independent government review identifies solutions that will keep the business afloat21
    • Company may or may decide to accept the proposals21.
  • Annual turnover of the 2 plants is in excess of $80M22
    • Businesses have a substantial amount owing from debtors22
  • Workers are angry and in disbelief at the recent announcements22
    • Claim the owners misled them22
  • Some producers are owed money by the abattoirs for livestock sold as well as for wages owed22
  • Government had been providing  assistance for some time to the abattoirs through the ‘Job assist program’22
  • February 16. AMIEU call for urgent meeting with management to provide definite dates and certainty to workers regarding work and entitlements23
    • Staff are not yet legally redundant, therefore are effectively still employed by the facility23
    • Workers are unable to claim concessions if they are not made redundant
    • Centrelink unemployment entitlement may allow $400 / fortnight payment23
      • Wages were nearer $1200 a week23.
  • February 19. 4 Workers accuse Leitch Pastoral Group have failed to make superannuation payments to employees accounts since June 200924
  • Payroll anomalies are being investigated by Grant Thornton management consultants24
    • Some employees are also owed holiday pay24
  • Employees have contacted superannuation funds, who then referred to Australian taxation office to begin an investigation into the workers entitlements24.

GT 2nd report. pg 25

Source gtal 2010 ka operations report released 01/04/2010
Showing final figures of monies owed for employee entitlements by KA operations.

  • Wallangarra (NSW) plant is sold to South Australian company25
    • workers at Wallangarra are assure their jobs are secure25
    • Wallangarra has been accessing some stock that normally would have been processed at Killarney and selling product into areas traditionally sold to also by Killarney25
  • Current sheep prices are very high25
    • due to low flock numbers nationally25
  • Gympie meatworks – Nolan Meats business was operating as normal52
    • highest throughput of cattle, processing 400 head a day52
  • March 3. Leitch Pastoral Group is placed into voluntary administration26
  • Dudley Leitch assures those affected by the Killarney abattoir the facility would be re-opened once debts had been collected from suppliers26
  • Several parties have shown interest in creating an alliance to keep the facility in operation26
  • Leitch Pastoral Group is now under the control of Michael McCann from the Grant Thornton accounting firm27
  • Operations at the Killarney and Pittsworth abattoirs would remain suspended
    • Likely the facilities will be placed for sale27
  • Westpac bank announce a relief package to assist customers who are employees of Leitch pastoral company affected by the closure of the abattoirs28
    • Home loans may defer payments for 3 months28
    • Existing business loans can request loan restructure without usual bank fees applicable28
    • Credit card customers can request emergency credit limit rises28
    • Personal loan customers can apply to refinance at a discounted fixed interest rate28
    • Westpac will waive interest penalties for early drawing of term deposits28
    • Free consultations with financial planners28
  • March 5. Alleged theft occurs of $31,000 worth of equipment from Leitch Pastoral Group properties in the last fortnight29
    • Killarney abattoir had a mig welder and maintenance equipment29
    • Elbow valley Property lost a spray unit29
  • Dudley Leitch is confident abattoirs will re-open30
    • Not necessarily under Leitch Pastoral Group30
    • Both plants are only 2 multi species abattoirs of significant size in the region30
  • Reason for failure of the abattoirs30
    • Outstanding payments to Condamine river meats30
    • Failed bid to unite various wholesale groups under one banner30
      • “The main problem we were having out there firstly the wholesale people not selling the meat at the right price and not making money” Dudley Leitch30
      • Lack of salesmen pushing the product and lack of ability to collect debts
    • Dudley Leitch would step back from meat operations of the Leitch Pastoral Group though he would continue to run the farming  entities30
      • Dudley Leitch insisting the farming entities were separate to the processing30
      • A number of Leitch properties were already on the market for sale
  • Core staff and basic maintenance crew remain at the plant enabling it to be re-opened if required30.
  • Leitch Pastoral Group owe in excess $7M to over 200 claimants31
    • Warwick Livestock agents31
      • Stock and Station agents across Darling Downs are owed more than $900,00031
    • cattle producers31
      • Coomith Cattle Company $170,00034
      • Un-named producers supplied stock worth $22,000 for slaughter of 31 head in November35
        • Had suspected problems with Killarney and had begun to grow heavier cattle and sell to another abattoir at Oakey prior to the end of 200935
          • Increased freight cost of $16-$20 per head35
        • Producers weren’t suppling stock to Killarney because the facility wasn’t making timely payments for them35
          • Producers had to chase abattoir for payment35
    • Superannuation funds $307,500, with over $265,000 to one fund alone31
      • Employees have received additional information from Grant Thornton but may have to wait 8-10 months before payment31
      • $3,000 garnered from employees wages for child support agencies was not forwarded to the agencies31
      • Employees are receiving formal notice of their termination of employment31
    • Government bodies31
      • WorkCover QLD $584,00031
      • Governments Levies Revenue Service $78,00031
  • Dudley Leitch himself is listed as a creditor – owed $2.25M31
    • Dudley Leitch supplied stock from his own properties to the Killarney abattoir when the facility was struggling to source stock35
    • $946,000 is owed internally between the 3 entities of the Lietch Pastoral Group31
    • Dudley Leitch had personally rung people to assure they would receive their money31
  • Full liabilities is still unknown as they don’t include former employees or financiers31
  • Suppliers feel Dudley Leitch should not be listed as a creditor31
    • Now like all failed businessmen he is finding blame with everyone but himself” – suppliers31
  • Creditor documents cast doubt on whether those owed money would see much32
    • Creditors view that voluntary administration absolves the groups owner of any responsibility to pay his debts32
    • Dudley gets to keep his assets because the voluntary administration only relates to the 3 other entities32
  • Employees rank as a priority ahead of claims by ordinary unsecured creditors and ahead of secured creditor31
    • 2nd – Rural Bank31
  • Accounting firm Grant Thornton to receive $225,000 for resolving the crisis31
    • $485 hourly rate31
    • Suppliers were cynical of administrators being able to guarantee their payment but not payment to other creditors31
  • Dudley Leitch quits as Director of Kings Minerals due to personal reasons32
    • Walks away with share portfolio of $5.7M32
    • Not uncommon for company directors to resign from other positions if certain their interests could be subject to intervention32
  • March 10. A proposal by the Leitch Pastoral Group to resurrect the Killarney abattoir as a co-operative with financiers Rural Bank is put forward33
    • Rob Doro resigned as Leitch Pastoral Group operations manager but allowed him to put proposal forward33
      • May allow creditors to recover money 33
      • Killarney to retain a major employer33
    • Would require Dudley Leitch and Rural Bank to forgo the assets of both Killarney and Pittsworth plants and roll them into a new entity33
      • Abattoirs would have an accountable board with independent and professional directors33
      • Require government support in the form of start up capital
        • Interest reduced loans33
  • Co-operative idea is labelled as “unrealistic, Cinderella solution” to the “only hope” for those owed monies34
    • Those owed money could translate their debt into shares34
    • Financial data was viewed that the abattoirs could be viable under a tightly controlled management regime34
  • Creditors and suppliers were wary of proposal but considered it may be a real option34
  • preference to see State Government take action to ensure corporations were not allowed to protect assets behind trading companies34
  • Views34
    • Co-operative concept had merit if close attention was paid to developing a sensible business model to ensure sustainable volume and pricing34
    • Bank wouldn’t for-go assets in the interest of a few trade creditors34
      • Lietch had always structured the business to protect assets
    • If the meatworks are actually viable why had Grant Thornton not recommended trading out of the situation34
  • March 12. Creditors meeting is held at Grant Thornton offices in Brisbane35
    • Grant Thornton indicate that unsecured creditors would not receive any money35
  • Further meetings are held with government organisations to consider the co-operative proposal35
  • Employees will receive monies owed in 90 days36
    • $1.6M in entitlements36
      • $1.3M is expected from debtors36
    • Federal Government General Employee Entitlements and Redundancy Scheme will top up any outstanding amounts36
  • Southern Downs Regional council developed a 70 ML off-stream storage facility last year with the understanding it was critical to the Killarney abattoir37
    • Ratepayers may be forced to pick up the $1.1M cost of the facility37
    • Killarney abattoir had been expected to use 50% and be the main contributor to the cost recovery37.
  • April 1. Report to creditors is released by Grant Thornton.

gtal_2010_ka_operations_pty_ltd_second-report_to_creditors

GT 2nd report pg 2.

Source gtal 2010 ka operations. Recommendations of action Pg 2

  • Reasons for failure of the business as cited on page 6 of gtal report.
GT 2nd report. pg 13

Source gtal 2010 ka operations. Reasons for failure. Pg 6

GT 2nd report pg 7.

Source gtal 2010 ka operations. Insolvent trading Pg 7

 

 

GT 2nd report. pg 8

Source gtal 2010 ka operations. Return to creditors Pg 8

 

GT 2nd report. pg 16

Source gtal 2010 ka operations. Profit and Loss Pg 16.
All accounts are un-audited and showing a trading loss of $1.27M at 28/02/2010

GT 2nd report pg 13.

Source gtal 2010 ka operations. Statement of Position Pg 22
Statement of Position showing debt to Rural bank of $32M

  • April 14. Lietch Pastoral Group meat entities are placed in formal liquidation38
  • Both meatworks. Killarney and Pittsworth are listed for sale by tender38
  • Dudley Leitch also lists a farming property owned in the Killarney area is listed for sale38
    • Employees are resentful of the fact Dudley Leitch owns property in the area but isn’t forced to sell the land or personal home while employees had to wait until legal notice of formal liquidation to receive their access to funds and still wait 90 days for payment39

Leitch proprety groups. Mercury 31.10.2014

Source Mercury ‘Last of Leitch properties…’ 31/10/2014

Listing of properties held within the Leitch Pastoral Group portfolio

  • 3 of the 27 Trainees employed at Killarney have found work at other sites39
    • Yangan abattoir employed 2 fitter and turners to enable them to finish training39
    • Most would be forced to forget training and take work elsewhere where ever they could39
  • Big W distribution centre employed 20 former meatworks staff39
  • Oakey abattoir (John Dees) employed 10 former Killarney workers39
  • Some Killarney workers were able to relocate to find work at other centres39
  • May 21st. Formal tenders for the 2 abattoirs close at 5pm40.
    • Facilities were being offered as 2 separate entities40
  • Dudley Leitch rural enterprises are struggling operating on skeleton staff40.
    • Management team now consist of Dudley, his daughter and a lawyer40.
  • Business review had been conducted for Government by Grant Thornton for Jobs Assistance Intensive program41
    • Independent business review of Killarney abattoir
      • Authors Note – Date is not mentioned of when the review was actually conducted.
    • Report undertaking cost $88,771.9641
    • Report didn’t indicate Leitch Pastoral Group was insolvent.41
  • June. Pittsworth abattoir is under contract to overseas interests
    • Settlement to occur June 2842
      • Killing expected to begin within weeks of settlement42
  • Killarney operations has received interest from overseas and interstate buyers42
  • Dudley Leitch believes facilities could operate as service kill but not as wholesale operations42
    • Killarney may have the potential to export42
    • Made error in not bringing arms of Pittsworth and Killarney meat wholesale arms together – effectively they were in competition with each other42
    • Leitch groups still has a considerable debt42
    • Clean up work was being carried out at the Killarney site42.
  • August. Pittsworth abattoir re-opens under new ownership48
    • Pittsworth closes permanently April 8 201148
  • Dudley Leitch is included in QLD Top 100 List53.
    • Estimated worth of $81M ranked 9453.
      • 2009 ranking had been #80 at $109M53.
    • Dudley Leitch claims ‘net personal financial wealth’ is impossible to assess53.
      • His family are heavily burdened by debt53.
  • Creditors who are owed money by the Leitch groups are taking on extra overdraft to pay bills53.
  • December. Colliers International real estate sale agents list Killarney abattoir for sale43.
    • Property consisting of 32ha grazing land43
  • Dudley and Karen Leitch hold an online auction of 7,000 Dorper and Damara sheep from traprock country west of Warwick44
    • Karen Leitch is also selling a high-class artworks store as a closing down sale44
      • Artes de Mexico specialises in unique forms of handmade ceramics44
    • Dudley Leitch continues to run 60,000 head breeding sheep flock on his traprock country areas44.
    • Sale is not confirmed to meet requirements of creditors but for 16 workers on the properties44
  • Dudley Leitch vows to re-open his beef cattle feedlots at Millermerran and Cullendore within the next few months44
  • Court action is on-going against the Killarney and Pittsworth abattoirs 44
    • Killarney co-op lodged March 201044
      • Undisclosed amount was agreed on and would be paid44
    • Coomith Cattle Company of Meandarra, Perrett Cattle company of Injune (owed $61,000) and the Amber Downs Feedlot at Wandoan lodged May 3144
  • Overseas investor inspects the Killarney abattoir44
    • Local (NSW and QLD) has shown some interest in the facility45
  • Colliers International selling agents are confident Killarney abattoir will be sold46
    • 7 groups of people have inspected the facility46
      • A shortlist of the offers will now be done46
      • Some are looking to re-open the facility others to lease the property46

2011

  • February. 2 potential buyers are in talks with the sales agent47
    • Hopeful a result may have occurred mid January but local flooding had caused delays47
  • April. Pittsworth abattoir permanently closes48
  • Freestone Feedlot, 2,000 head capacity located north of Warwick remains under external administration54.
    • Feedlot stock numbers were down due to high cattle prices54.
    • Feedlot had service killed at Killarney54.
      • Carcases were processed at their own meat processing facility at Molendinar (QLD Gold Coast)54.
  • May. Equipment is removed from the site48
    • Rumours the facility will not re-open48
    • Scrap metal merchant was removing materials and gear48
  • Previous offers and negotiations had fallen through48.
    • Rumours $1.3M had been rejected in the hope of achieving a $2M sale48.
  • Dudley Leitch and his wife are subject to supreme court action by the ATO49.
    • $600,000 in unpaid taxes49
      • Tax debt under the Leitch family trust49
    • Family home in Brisbane was auctioned in the last week selling for $696,00049
      •  Leitch’s plan to move to one of their livestock properties49
    • Leitch’s sell 102ha Beaudesert property $1.33M49
  • November. Dudley & Karen Leitch are formerly declared bankrupt50
  • Tenants on former Leitch properties are ordered to vacate the properties by the end of January 201250
  • Cattle suppliers who took Leitch to court have not received any payment of monies and expect legal costs to have doubled their losses.50
  • ATO launch a second legal case for further unpaid taxes and Superannuation Guarantee charges $998,589.07 plus interest and court costs50
  • December. Killarney abattoir remains in the hands of the creditors50
    • site is gradually being dismantled with numerous sheds and workshops already gone50

2012

  • June. Belvedere (Owned by Leitch Pastoral Group) is passed in at auction $1.7M55.
  • August. Killarney abattoir site (now stripped of some sheds and most equipment) is sold to Chris Shaw $167,00062
  • October. Rumours Killarney abattoir will be converted to a pig processing facility56
  • Swickers at Kingaroy is currently processing 2,000 pigs a day56

2013

  • February. Memorandum of understanding is announced to re-open Killarney abattoir57
    • Northern Co-Operative Meat Company (Casino NSW) and Killarney based business identity Chris Shaw of Canning Downs58
      • Co-op currently run pig plant at Booyong (Lismore)58
    • Abattoir (formerly beef and sheep) would need to be completely rebuilt and refurbished58
      • Initial phase will be a feasibility study58
      • Chris Shaw had been interested in buying the Killarney site and building a pig abattoir himself.58
      • A new pig facility would directly compete with Casino, Northern Co-op wanted to have some control of negotiations58
        • better enable Casino protection for its business and staff58
        • Killarney would have saved many producers transport costs58
  • Livestock producers who received payment of livestock prior to the Leitch groups being placed under administration will be forced to repay money as they should not have received preferential treatment to unsecured creditors59
    • First call on assets is owed to ATO59
      • 2nd secured creditors – Rural bank59
        • 3rd company employees59
          • owed approximately $1.5M60
    • Return of payment of money will place undue stress on suppliers who provided stock under contract and in good faith of payment59
    • Some were considering a joined legal action to keep the money59
  • Law: Corporations Act60
    • By Law, to recover an unfair preference, the liquidator must show that the transaction occurred at a time when the company was insolvent, that the transaction gave the creditor an advantage over other creditors(preferential treatment) and that the creditor suspected or should have suspected that the company was insolvent.60
  • October. Dudley Leitch is working as a part time consultant for a Chinese company mining copper61.
  • Dudley Leitch and his wife are still listed as owners of several properties at Gore, Stonehenge, Springdale and Terrica61
  • At this time creditors owed from the collapse of Killarney, Pittsworth and Condomine River meats have not been paid61
    • Neither has the ATO61
  • Some suppliers who were asked to return payments have to avoid court costs61

2014

  • March. Grant Thornton as liquidators role will end61.
  • Expectation winding up process of the collapsed Leitch groups to be formally finalised62
    • unlikely that local firms and suppliers will receive any monies owed62
  • Re-development of the Killarney site as a pig processing facility could take up to 2 years62
    • Chris Shaw has withdrawn from the project62
      • Owns the Killarney site62.
    • Northern Co-op was proceeding with due-diligence62
  • October. Leitch properties Enisclare and Stonehenge sell prior to auction63
  • Last of the Leitch Pastoral group holdings will be auctioned63.
    • Bodumba will be sold 31/10/201463
      • Final of more than 17 properties63
        • Including 2 abattoirs63
      • Started buying in 2005 and 2006 continuing through the property price highs of 200863
      • Accumulated a rural portfolio of $30M63
  • Collapse of Leitch groups affected local property markets63
    • Prices back 30-40% from 200863

 Sources

  1. https://en.wikipedia.org/wiki/Warwick,_Queensland Accessed 06/04/2017
  2. http://www.cattlefacts.com.au Work Recess Dates 2000-2001
  3. AMIEU – Ian McLauchlan. 2008. – note link not working
  4. ‘Killarney abattoir staff face reduced work hours’ Warwick Daily News 10.12.2004
  5. ‘Outlook murky for Killarney’s water supply’ Warwick Daily News 12.01.2006
  6. ‘Loch Lomond feedlot plan is in’ Warwick Daily News 11.02.2007
  7. ‘Feedlot plan on the nose’ Warwick Daily News 22.02.2007
  8. ‘Meatly deal snaps up abattoir and feedlot’ Warwick Daily News 24.01.2008
  9. ‘Upskilling benefits both staff and bosses’ Warwick Daily News 10.07.2009
  10. ‘Abattoir plan a first: Leitch’ Warwick Daily News 22.09.2009
  11. ‘Long-term investment needed in the region’ Warwick Daily News. Editor. 22.09.2009
  12. ‘Cattle supply impacts on meatworks’ Warwick Daily News 13.10.2009
  13. ‘Abattoir closure kills 200 jobs’ Warwick Daily News 27.10.2009
  14. ‘Leitch disputes rumours’ Warwick Daily News 05.12.2009
  15. ‘Abattoir workers stood down’ Warwick Daily News 08.02.2010
  16. ‘230 abattoir workers stood down’ Warwick Daily News 09.02.2010
  17.  ‘Leitch Pastoral Group closes’ Warwick Daily 09.02.2010
  18. ‘Abattoir suspends workers’ Warwick Daily News 09.02.2010
  19. ‘Abattoir future to be known today’ Warwick Daily News 12.02.2010
  20. ‘Leitch vows to re-open abattoir’ Warwick Daily News 12.02.2010
  21. QLD Government Media release. Mr Andrew Fraser. 12.02.2010
  22. ‘Leitch extends plant shutdown’ Warwick Daily News 13.02.2010
  23. ‘Abattoir workers’ future uncertain’ Warwick Daily News 16.02.2010
  24. ‘Employees missing super’ Warwick Daily News 19.02.2010
  25. ‘Meatworkers told their job’s safe’ Warwick Daily News 02.03.2010
  26. ‘Abattoir owners confirm closure’ The Chronicle 03.03.2010
  27. ‘Abattoir entities in receivership’ Warwick Daily News 03.03.2010
  28. Westpac Bank Media release. 03.03.2010
  29. ‘Thieves make a hit on abattoir plant’ Warwick Daily News 05.03.2010
  30. ‘Abattoirs will reopen: Leitch’ Warwick Daily News 05.03.2010
  31. ‘Show us the money, Dudley’ Warwick Daily News 05.03.2010
  32. ‘Leitch resigns from top job’ Warwick Daily News 06.03.2010
  33. ‘Bold bid to keep abattoir running’ Warwick Daily News 10.03.2010
  34. ‘Plan to reinvent abattoirs’ Warwick Daily News 11.03.2010
  35. ‘Leitch faces creditors’ Warwick Daily News 12.03.2010
  36. ‘Better news for abattoir workers’ Warwick Daily News 12.03.2010
  37. ‘Abattoir leaves $1M water bill’ Warwick Daily News 31.03.2010
  38. ‘Leitch now in liquidation’ Warwick Daily News 14.04.2010
  39. ‘Workers doing it tough’ Warwick Daily News 15.04.2010
  40. ‘Killarney abattoir’s future unsure’ Warwick Daily News 20.05.2010
  41. Parliamentary questions on notice. #697 13.04.2010. Mr Springborg.
  42. ‘Killarney is still a goer: Leitch’ Warwick Daily News 02.06.2010
  43. ‘Colliers lists Killarney’s idle abattoir’ Stock Journal 09.12.2010
  44. ‘No movement on Killarney abattoir’ Warwick Daily News 10.06.2010
  45. ‘Locals register abattoir interest’ Warwick Daily News 14.12.2010
  46. ‘Abattoir set to sell’ Warwick Daily News 23.12.2010
  47. ‘Two groups interested in abattoir’ Warwick Daily News 24.02.2011
  48. ‘Killarney abattoir’s future vague’ Warwick Daily News
  49. ‘Tax office chasing down Leitch’s’ Warwick Daily News 26.05.2011
  50. ‘Millions to mud: Leitch bankrupt’ Daily Mercury. 17.12.2011
  51. ‘Sheep Producers smiling as meat price on the increase’ Warwick Daily News 02.06.2009.. Via http://www.questia.com
  52. ‘Local meat jobs safe, Industry is uncertain’ Warwick Daily News 24.02.2010
  53. ‘Living off the fat of the Lamb? Former abattoir owner Leitch rejects papers rich list tag’ Warwick Daily News 17.08.2010. via http://www.questia.com
  54. ‘Freestone Group still in Limbo..’ Warwick Daily News 05.04.2011. via http://www.questia.com
  55. ‘Belvedere QLD passed in for $1.7M’ www.farmonline.com.au 29.06.2012
  56. ‘Is pig abattoir sale tale a lot of pork pies?’ Warwick Daily News 10.10.2012. via http://www.questia.com
  57. ‘Abattoir plan is exciting’ Warwick Daily News. Editor comments 23.02.2013. via http://www.questia.com
  58. ‘Talks ramped up on new abattoir hopes riding on new venture…..’ Warwick Daily News 23.02.2013. via http://www.questia.com
  59. ‘Producers’ nightmare as big funs demand cash’ Warwick Daily News 28.02.2013
  60. ‘Liquidator looks into money owed’ Warwick Daily News 28.02.2013. via http://www.questia.com
  61. ‘Dudley Leitch back in mining biz’ Warwick Daily News 29.10.2013
  62. ‘Two-year plan with set-up of pig plant’ Warwick Daily News 01.04.2014
  63. ‘Last of Leitch properties to be offered up for auction’ Daily Mercury 31.10.2014
  64. Aus-Meat Accredited Establishment List July 1997
  65. Aus-Meat Acc Listing 18.03.10
  66. gtal_2010_ka_operations_pty_ltd_second-report_to_creditors
  67. PPIP0079-Final-Report
  68. Aus-Meat Accredited Establishment List 18/07/2008

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