4K1G’s financial stresses resolved

The Registrar of Aboriginal and Torres Strait Islander Corporations, Ms Tricia Stroud, has today announced the end of the special administration of the Townsville Aboriginal and Torres Strait Islander Corporation for Media.

The corporation known as ‘4K1G’ was placed under special administration on 14 June 2021 following an examination of its books. The examination identified that the corporation was in financial stress and unable to pay its debts which were in excess of $445,000.

‘Trying to resolve the financial issues  of 4K1G has been challenging for the special administrators during a time where COVID-19 has had a significant impact on the wider economy,’ Ms Stroud said.

‘I am pleased to announce that the special administration ends on a very positive note with 4K1G in a solvent and financially viable position.

‘After recently completing the sale of the corporation’s building, 4K1G has been able to pay all creditors existing before the special administration, and broadcasting continues without disruption. The sale also leaves the corporation with sufficient working capital to upgrade broadcasting equipment and enter a lease back arrangement meaning the radio broadcasting facilities won’t need to be relocated.’

The corporation continues to be supported by its main funding body, the National Indigenous Australians Agency. Funding is currently committed until the end of the 2023 financial year.

The special administrators have appointed a new board of 3 directors. They will be supported by a station manager responsible for managing the day-to-day operations of the corporation.

Background

See the Registrar’s previous media releases:

Airing the issues at Townsville’s 4K1G – 14 June 2021 (MR2021-20)

Townsville 4K1G radio station special administration extended – 17 September 2021 (MR2122-03)

Rescue of 4K1G radio needs more time – 17 December 2021 (MR2122-06)

4K1G radio on path to financial recovery – 18 March 2022 (MR2122-10)

MR2223-03