Although Collins Acquisitions hasn’t actively followed the case we were pleased to see a former client was let off from any charges. This should signify to the general public that the downfall of ABC Learning was not the direct fault of criminal negligence.
ONE of the highest-profile criminal cases stemming from the global financial crisis has collapsed, with a charge against former childcare tsar Eddy Groves being dropped.
Mr Groves, who co-founded the now-collapsed ABC Learning Centres, had faced one count of aiding an alleged dishonest use of position by ABC executive Martin Kemp. But a jury last month acquitted Mr Kemp of two charges related to selling his private centres to ABC in a $3 million-plus deal.
“In light of Mr Kemp’s recent acquittal, the (Commonwealth Director of Public Prosecutions) reviewed the charge against Mr Groves and discontinued it,” said a CDPP spokeswoman.
Mr Groves, known for his speaking skill and ownership of the Brisbane Bullets basketball team, has long maintained his innocence. He did not answer calls yesterday.
But a close source said the case was weak and authorities had “given up as they should have”.
The charge stemmed from an Australian Securities and Investments Commission investigation after ABC’s collapse in November 2008.
A bail application involving Mr Groves had earlier raised the possibility of another charge, but the source said it was uncertain whether ASIC would proceed with that matter. ASIC said investigations were continuing.
The charge was significant as ASIC has attracted criticism by often taking civil action, which has a lower burden of proof, against high-profile directors.