Between 1993 and 1996 Graeme Phillips and Matthew Phillips deceived Ron Stanborough and David Wemyss Smyth into agreeing a profit sharing agreement in return for their business name and intellectual property, so as to obtain Commonwealth Employment Services contracts by deception.
Photo: 3/423 Glenferrie Road, Malvern VIC 3144 was paid for with monies withheld from SWA
Victims of Crime
David Wemyss Smyth and Ron Stanborough founded Stanborough Wemyss & Associates (SWA) Pty Ltd.
When Wemyss Smyth and Stanborough met Graeme Phillips he was an ex criminal, bankrupt and disqualified as a company director.
Graeme Phillips criminal conviction, bankruptcy, disqualification from being a company director and having no background experience in recruitment and human resources meant that he did not meet the criteria of the Commonwealth Employment Services contracts.
Graeme Phillips needed an established company, with strong company financials and one that was reputable within the recruitment and job placement sector to competitively tender for lucrative Commonwealth Government contracts.
SWA met Graeme Phillips requirements.
Wemyss Smyth and Stanborough agreed to provide Graeme Phillips and Matthew Phillips with an office, phones, administration support at 320-322 St Kilda Road, St Kilda.
SWA gave Graeme Phillips and Matthew Phillips unbridled access to company financials, intellectual property and human resource professionals that SWA had accumulated over 25 years in human resources and recruitment.
In return Wemyss Smyth, Stanborough and Graeme Phillips agreed to share profits, one third each, derived from any government contract won and serviced:
One third Stanborough
One third Wemyss Smyth
One third Graeme Phillips and Matthew Phillips
Wemyss Smyth and Stanborough invested tens of thousands of dollars into helping Graeme Phillips and Matthew Phillips establish this division of the SWA business.
In 1992, SWA tendered for and were awarded a Commonwealth Government contract to assist long term unemployed persons within Bayside Melbourne assistance with job search (C-36).
Graeme Phillips and Matthew Phillips operated the contract and took a wage from income received from the contract. Any profit was to be divided as per a “profit sharing agreement”, one third each.
Wemyss Smyth and Stanborough explain that in mid-1994 Graeme Phillips and Matthew Phillips approached them with the idea to establish Stanborough Wemyss Contracting Pty Ltd (SWC) so they could formalise their business partnership, one third each on profits, and use it as a vehicle to secure further state and federal government contracts.
The incorporation of SWC occurred at the same time as Graeme Phillips disqualification from being a company director lapsed.
On 8th August 1994 SWC was incorporated and Graeme Phillips, Matthew Phillips, Wemyss Smyth and Stanborough were appointed directors of SWC.
SWC using SWA’s financials, personnel and intellectual property won a multi million-dollar Commonwealth services contract called “Employment Services Regulatory Authority (ESRA)”. The contract required that providers support long term unemployed into employment via a one on one case management support process using the SWA systems, personnel and intellectual property as prescribed within the tender submissions.
The SWC directors signed statutory declarations that SWC service delivery provided access to SWA systems, personnel and intellectual property.
On 23 November 1995, Wemyss Smyth and Stanborough resigned as Directors of SWC.
Wemyss Smyth and Stanborough explain, the reason for their resignation was that Graeme Phillips and Matthew Phillips reneged on the profit sharing agreement and realised they had been deceived into establishing SWC.
Graeme Phillips and Matthew Phillips told Wemyss Smyth and Stanborough that SWC held the contract with the Commonwealth Government and that SWC was set up in the name of Loftarch Pty Ltd.
Loftarch Pty Ltd directors and shareholders were Graeme Phillips and Matthew Phillips.
Graeme Phillips and Matthew Phillips explained to Wemyss Smyth and Stanborough that they owned nothing.
Vulnerable Long Term Unemployed
When Graeme Phillips and Matthew Phillips deception was revealed and they reneged on the profit share agreement, they no longer had access to Wemyss Smyth and Stanborough specialist human resource services provided to SWC by SWA.
Long Term Unemployed (LTUE) persons signed return to work contracts with SWC on the understanding they would have access to workplace psychologists, executive job placement, outplacement support, contract labour, professional counselling services and a collective of human resource experts to support their job search.
Graeme Phillips and Matthew Phillips deceived many hundreds of long-term unemployed (LTUE) job seekers into case management with SWC between 1994 and 1997.
Historical website listings detail the SWC Recruitment Practices of the LTUE
Hundreds of LTUE job seekers lives were disadvantaged when they were deceived and did not receive the support, they signed a contract to receive and needed to re engage into employment.
Hundreds of LTUE job seekers lay idle on SWC books whilst the SWC business invoiced the Commonwealth and was paid service fees by the Commonwealth to case manage the LTUE job seekers. Subsequently, many hundreds of LTUE did not gain employment and were unable to earn a wage.
Graeme Phillips and Matthew Phillips deception of vulnerable LTUE caused the victims emotional, physical and financial distress.
Commerce Transcends All
Whilst many hundreds of LTUE job seekers were being deceived, in November 1994, Matthew Phillips purchased 203 Coppin Street, Richmond VIC 3122 that he later sold for $274,000 in June 1998.
Photo: 203 Coppin Street, Richmond VIC 3121 was paid for with monies withheld from SWA
In December 1997, Graeme Phillips purchased Unit 3, 423 Glenferrie Road, Malvern VIC 3144 for $365,000 that he later sold for $1,005,000 in 2007.
Photo: 3/423 Glenferrie Road, Malvern VIC 3144 was paid for with monies withheld from SWA
Ron Stanborough and David Wemyss Smyth never received a cent from Graeme Phillips and Matthew Phillips and Stanborough Wemyss Contracting Pty Ltd still trades to this day, using their stolen names and reputation.
Supporting Evidence
David Wemyss Smyth
3 Woodland Way (Moonah Links)
Fingal VIC 3939
Ron Stanborough
1 Rutland Ave
Mt Eliza VIC 3930
Simon Phillips
Level, 6, 350 Collins Street
Melbourne VIC 3000
Mobile: 0438 354 880
Email: simon@shortcoursesau.edu.au