The husband-and-wife directors behind a group of collapsed agriculture businesses linked to a NSW corruption scandal have both been disqualified by ASIC from managing corporations for the maximum period of five years.

Jimmy Yang (also known as Jimmy Liu) and his wife Freda Feng were the directors of three failed companies in the agriculture sector:

• UWE Hay Pty Ltd ACN 600 930 881 (UWE Hay)
• ACN 060 242 515 ACN 060 242 515 (United World Enterprises), and
• UWE - Griffith Property Pty Ltd ACN 600 931 833 (Griffith).

Mr Yang was a director of these companies between 2004 and 2025, and Mrs Feng was a director between 2004 and 2023. Mr Yang was also a director of the business and personal services company SMU Holdings Pty Ltd (ACN 604 111 622) between 2004 and 2025.

ASIC found that Mr Yang and Ms Feng each failed to act properly and meet their obligations as company officers, including when Mr Yang improperly used UWE Hay’s funds and his position as a director of UWE Hay to offer incentives to former NSW MP for Wagga Wagga Daryl Maguire.

ASIC also found that Mr Yang and Ms Feng:

• Failed to ensure UWE Hay, United World Enterprises, Griffth and SMU Holdings complied with their statutory obligations to the Australian Taxation Office
• Failed to maintain and keep adequate books and records for UWE Hay and United World Enterprises
• Improperly used their position to withdraw company funds from UWE Hay’s bank accounts without explanation for the use of the funds
• Improperly used their positions by permitting loans to be made from UWE Hay and United World Enterprises to other entities
• Improperly used their positions to allow United World Enterprises to enter into an agreement to sponsor a work visa in exchange for United World Enterprises receiving a financial loan
• Improperly used their positions to sell a vehicle owned by United World Enterprises and use the proceeds to purchase a new vehicle for UWE Hay, and
• Failed to prevent UWE Hay and United World Enterprises from insolvent trading.

At the time of ASIC’s decision, the four companies owed a combined total of $56,830,527.44 to unsecured creditors. This included $110,862.60 owed to the ATO, $6,501.49 owing for employee entitlements, $2,229.80 owing for workers compensation and significant debts owed to small businesses in the agricultural industry.

In disqualifying Mr Feng and Ms Yang, ASIC relied on supplementary reports lodged by liquidator Jamieson Louttit of JLA Insolvency and Advisory and Liam Bailey of O’Brien Palmer.

ASIC assisted to prepare the statutory reports by providing funding from the Assetless Administration Fund.

Mr Yang and Ms Feng are both disqualified from managing corporations until 17 December 2030.

They have the right to seek a review of ASIC’s decision by the Administrative Review Tribunal.

Background

Section 206F of the Corporations Act allows ASIC to disqualify a person from managing corporations for a maximum period of five years if, within a seven year period, the person was an officer of two or more companies, and those companies were wound up and a liquidator provides a report to ASIC about each of the company’s inability to pay its debts.

Through enforcement action against selected directors who contravene s206F, ASIC demonstrates that there are appropriate consequences for the mismanagement of small and large companies. ASIC continues to take targeted action against individual directors to protect the wider public, employees and other businesses against the future mismanagement of companies.

ASIC maintains a banned and disqualified persons register that provides information about people who have been disqualified from:

• involvement in the management of a corporation
• auditing self-managed superannuation funds (SMSFs), or
• practising in the financial services or credit industry.