Campbell case kicks off

Fiat Chrysler Automobiles Australia’s civil case alleging former managing director Clyde Campbell's misuse of more than $30 million of company funds is now underway.

At an interlocutory (provisional) hearing in the Federal Court in Melbourne last week, FCAA sought to have Campbell’s assets frozen.

Justice Beach instead ordered Campbell give FCAA 14 days’ notice of removing certain assets from Australia or New Zealand – or disposing of, or dealing in, those assets.

He gave permission for up to $1.5 million to be removed from Australia as Campbell is reported to have plans to set up a new retail and distribution business – which motoring.com.au understands is outside the automotive industry — in New Zealand, where he was a partner in the distribution of Fiat Chrysler vehicles until May 12.

A series of hearings have also been set for July through to September, during which Campbell must submit his defence and FCAA its reply. That will be followed by 'discovery' and then a directions hearing.

Campbell was in charge of FCAA from October 2010 to May 2013. FCAA is seeking compensation and court costs as well as a court declaration stating he breached his contract of employment during that time.

Campbell’s solicitor Sam Bond has told Fairfax Media the allegations are “not only completely denied but considered scandalous”.

As yet, FCAA is not suing Campbell’s successor Veronica Johns, although it is alleged she had also misused company funds.

We reported the news of FCAA’s action against Campbell when it first broke here and some of the following ramifications here.

Meanwhile, general media outlets have been running various reports on Campbell’s background and the luxurious lifestyle he and his wife Simone have led.

Fairfax Media reported that Campbell had faced criminal charges relating to a car theft racket in Victoria, South Australia and New South Wales in the early 1990s.

News Limited reported Campbell was a bankrupt between 1998 and 1991.

The two media organisations have also started sniping about the accuracy of their coverage, with Fairfax deriding a News Limited report that FCAA is in search of “hundreds” of vehicles allegedly loaned out by Campbell and Johns to celebrities and friends.

“For the record, documents obtained by Fairfax Media reveal the program was not "hundreds" of cars, as described breathlessly by News Ltd, but did just touch three figures at its peak,” Fairfax reported.

These days the number of vehicles loaned out by FCAA across its five brands is put at between 40 and 50. And the organisation is said to be confident it knows where they all are.

The case is expected to run into next year.