Australia’s corporate watchdog, ASIC (Australian Securities and Investments Commission), has launched a criminal investigation into failed luxury caravan manufacturer Zone RV, following fresh allegations that the company continued trading while insolvent and may have unlawfully distributed money to shareholders.
The Queensland-based company collapsed in December 2025 owing approximately $42 million to creditors, leaving more than 100 customers without the caravans they had paid for and with little hope of recovering their money.
According to liquidator Cor Cordis, customers collectively lost more than $10 million in deposits and progress payments for caravans that were never completed.
Investigation Focuses on Director’s Conduct
ASIC confirmed it is investigating suspected breaches of multiple sections of Australia’s Corporations Act, including potential criminal offences involving dishonest or reckless conduct by company directors.
The investigation reportedly covers a period from July 2021 until the company’s collapse in December 2025.
At the centre of the probe is Zone RV founder and sole director David Biggar, who has not publicly commented on the allegations despite repeated requests from media outlets.
The liquidator alleges Biggar knowingly continued operating the business long after it had become insolvent, allowing debts to accumulate while accepting new customer deposits.
Former CFO Raised Alarm Bells
Key evidence in the investigation comes from former Chief Financial Officer Kim Hodgkins, who warned senior management as early as late 2023 that the company was facing serious financial difficulties.
Documents obtained by Australian media show Hodgkins advised executives that Zone RV had only $527,000 in available cash while carrying more than $2.1 million in overdue payments.
According to Hodgkins, her concerns were repeatedly ignored and she was later forced out of the company after escalating the issues to shareholders.
A subsequent workers’ compensation claim found she had been unfairly treated after raising concerns about the company’s financial position.
Speaking after ASIC’s investigation was announced, Hodgkins described the move as “a long time coming.”
“I’m relieved and optimistic that authorities are finally doing the due diligence and conducting appropriate investigations,” she said.
Alleged Shareholder Payments Under Scrutiny
Another major focus of the investigation concerns allegations that Zone RV paid money to shareholders despite suffering significant losses.
The liquidator claims approximately $4 million in payments may have been disguised as consulting or advisory fees rather than being recorded as shareholder distributions.
According to reports, shareholders allegedly received monthly payments proportional to their ownership stakes while the company continued to struggle financially.
One email reportedly sent by Biggar in October 2023 authorised a shareholder payment pool of $50,000, despite the company’s worsening financial position.
The liquidator has identified potential claims worth approximately $27.5 million against Biggar and related parties.
Customers Left Devastated
Among the customers affected are Gold Coast retirees Darren and Natasha Daley, who lost $160,000 after paying for a caravan that was never delivered.
The couple had planned to travel around Australia following retirement but instead found themselves facing significant financial losses.
“There is definitely betrayal, a lot of anger and sadness,” Natasha Daley said.
The couple welcomed ASIC’s decision to investigate and hope it will eventually provide accountability for those responsible.
Potential Penalties
The offences currently being examined by ASIC carry severe penalties under Australian law.
If criminal wrongdoing is proven, those involved could face penalties of up to 15 years imprisonment and fines exceeding $1.4 million.
Corporate law experts have welcomed the investigation, arguing that the case highlights the importance of regulatory oversight and enforcement in protecting consumers and creditors.
While Zone RV’s assets have since been sold to a new owner who continues operating the brand, many former customers remain out of pocket and are still seeking answers.
For many of those affected, ASIC’s investigation represents the first real hope that accountability may finally be delivered.