WA property moguls file supreme court claims over mismanaged finances
Two of Western Australia’s biggest property entrepreneurs have taken court action against the accounting firm responsible for managing their wealth over allegations of professional negligence leading to huge tax liabilities.
Multiple lawsuits lodged in the WA Supreme Court on June 26 allege HLB Mann Judd and its corporate entities are responsible for the mismanagement of family trusts. both Dale Alcock and Garry Brown-Neaves.
The pair worked together as co-founders of ABN Group, one of Australia’s largest residential building and construction companies, until Alcock acquired the company in 2016.
In a document filed with the courts by a number of corporate and personal entities, including Alcock and his wife, HLB Mann alleged Judd’s systematic failure regarding the firm’s accounting and taxation advice from 1990 to 2026.
The letters alleged that the accounting firm gave incorrect advice regarding the tax payable by the plaintiffs and failed to advise some of the plaintiffs that they were subject to family trust distribution tax and deficit tax.
It was also alleged that the company “engaged in conduct that conveyed to some or all of the plaintiffs that they were not obliged to pay the deficit tax and related interest or penalties.”
The letter also alleges that the services provided by HLB Mann Judd “were not provided with due care and skill, were not fit for purpose and/or failed to achieve the desired result and did not comply with legal guarantees, and that failures to comply with these guarantees were gross failures”.
The article claimed that these failures breached both contractual obligations and duties of care.
It was also revealed that in March 2025, the deputy tax commissioner published an audit alerting Alcock to some concerns.
Alcock and all relevant parties are seeking compensation for tax penalties and legal costs incurred as a result of the alleged mismanagement.
Brown-Neaves and the relevant trustees brought five separate claims against HLB Mann Judd relating to the period between 1999 and 2017, during which he was the firm’s accountant and tax agent.
It seeks to recover the cost of heavy family trust distribution tax liabilities triggered by the invalid trust election and seeks compensation for general interest charges and financial penalties imposed by the Australian Taxation Office as a result of retroactive tax issues.
The documents alleged Brown-Neaves had incurred significant costs and expenses trying to fix tax loopholes, and he estimated it would continue to cost him, including hiring new legal representation to seek help from the tax office.
In two of the writs, Brown-Neaves claimed damages arising from his role as director of Stonehawk Pty Ltd, trustee of the Alcock Investment Trust, which was also the first claimant listed in the writ submitted by Alcock.
Because corporate trustee directors can be held personally liable for trust tax deficiencies, Brown-Neaves claimed that she was held personally liable for significant family trust distribution tax, penalties, and interest charges.
Like Alcock, Brown-Neaves is seeking full compensation for financial harm resulting from the alleged accounting errors.
The exact cost of these damages is not yet clear.
HLB Mann Judd declined to comment when contacted by this imprint.
Holly Thompson is a journalist at WAtoday specializing in education and the environment.Connect with: X or email.
