Rick Damelian Group in receivership, creditor owed $80 million
Following our breaking news from earlier today, we can confirm Damelian Automobile Limited – trading as the Rick Damelian Group of motor vehicle dealerships – has been placed into receivership.
Ferrier Hodgson partners Steve Sherman and Jim Sarantinos have been appointed receivers and managers over the Group.
In a statement released by Ferrier Hodgson, the receivership follows an extended period of support from the Group’s secured creditor, during which time the Group was working towards a possible restructure of the operations and reduction of its debt.
The secured creditor is owed approximately $80 million.
The Leichhardt/Petersham-based Rick Damelian Group on Parramatta Rd in southwest Sydney comprises nine dealerships: Alfa Romeo, Citroen, Fiat, Honda, Renault, Skoda, Suzuki, as well as a Used dealership and a Prestige division.
The Skoda dealership is the only division of Rick Damelian Group not subject to the receivership.
Mr Sherman explained the receivers are currently working with the affected manufacturers to determine the future course of action.
“This will importantly involve engaging with the manufacturers to clarify the position of new car warranties and whether sales can be completed to customers who have paid deposits on vehicles, to then enable us to clarify the position with Rick Damelian Group customers,” he said.
“The receivers will make further announcements on this as soon as possible.”
Mr Sherman said customers who are scheduled to have their cars serviced at the Rick Damelian Group should not bring their vehicles to the dealership, as servicing of vehicles has been suspended until further notice.
Rick Damelian Honda was one of the top Honda dealerships in Australia, earning more than 30 awards for excellence between 1994 and 2006.
Honda Australia has released a statement encouraging Honda customers that cannot contact the dealership to call Honda Australia Customer Service on 1800 804 954.
Other customer service details:
- Alfa Romeo – 1800 025 240
- Citroen – 1800 804 747
- Fiat – 1800 786 885
- Renault – 1800 009 008
- Suzuki – 1800 777 088
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