Just $500 cash, $75 million in debt: The parlous state of former Melbourne Rebels boss’s finances
The former president of defunct super rugby club the Melbourne Rebels, Paul Docherty, is seeking to avoid bankruptcy after finding himself with only $500 to his name and personal debts of more than $75 million.
After a series of business failures, Docherty claims he now has no house, no car and no superannuation, according to documents that the serial entrepreneur filed with the bankruptcy regulator.
A conga line of creditors has lined up to stake their claim to Docherty’s estate – including the ultra-wealthy Myer family, which is owed $43 million, and the other directors of the Melbourne Rebels.
The parlous state of the former man-about-town and serial entrepreneur’s finances is outlined in the documents that form part of his pitch to broker a deal with his personal creditors.
The documents show Docherty – who once rubbed shoulders with sports administrators, politicians and Melbourne’s ultra-wealthy – has “tools of trade” worth $1500 and shares in 55 companies that he says are just $1 each.
He lists his current residential address as his accountant’s office in Camberwell.
Docherty has been in financial difficulty for more than a year after a series of his businesses collapsed under the weight of unpaid debts, including to the ATO.
Most significantly, this included the Melbourne Rebels, which collapsed into administration in January 2024, owing its creditors $23 million, including more than $11 million to the tax office for not passing on pay-as-you-go tax from player and staff wages.
In March that year, Rugby Australia stripped the club of its licence after the collapse; in June, it finally killed the club, which struggled to pull in crowds as its expenses continued to climb.
The Melbourne Rebels’ directors are now suing Rugby Australia for $30 million, alleging the sports governing body was liable to pay the tax debt and had breached its obligations in its handling of the financial woes facing teams in the competition.
In return, Rugby Australia alleged it was misled by the Rebels as to the actual dire state of its finances.
Docherty applied for a personal insolvency agreement in September. That move came after mall business lender Judo filed court action to have him declared bankrupt earlier this year.
A personal insolvency agreement will allow the entrepreneur to put a deal to his creditors to clean out his debts without formally entering into bankruptcy.
Docherty once oversaw a sprawling empire of start-ups under his BRC Group of companies, including 3D-printed medical device company 3DMediTech, dental aligner maker SmileStyler Solutions and cleaning brand owner Hiro Brands.
More than a dozen of Docherty’s start-ups and other businesses collapsed during 2024, including 3DMediTech, SmileStyler and Hiro Brands.
Docherty was also the head of the Australian branch of internal networking association, the Young Presidents’ Organisation, until his business troubles forced him to step down from that role in 2024.
According to Docherty’s filing with bankruptcy regulator, the Australian Financial Security Authority, Docherty has debts of $43 million to the Myer family via its development arm, Goldhill.
Goldhill is behind a 57-storey residential development proposal in the Arden precinct of North Melbourne, which is tied to Docherty’s BRC group of companies. According to ASIC records, Goldhill’s directors are Sidney Myer, Rupert Myer and Samantha Baillieu – the three children of noted Melburnian and business leader Sidney “Bails” Myer.
The ATO is the second-largest creditor to Docherty’s affairs, being owed $5.8 million by the businessman.
Docherty’s former colleagues at the Melbourne Rebels are also listed as creditors by Docherty. This includes former Rebels chief executive Tom Fraser (owed $25,000) and former Rebels directors Lyndsey Cattermole (owed $45,000) and Gary Gray (owed $5000).
Docherty also lists a separate debt of $896,626 to the “Rebels Directors” in his filing.
Sydney businessman Matt Bailey is listed as being owed $8.3 million and the collapsed company 3DMediTech $4.6 million.
More than $10 million in Docherty’s debts are due to other creditors, including Judo and other small business lenders.
Property records show Docherty sold his family home in March this year for $2.5 million. The property was held in the name of his wife, Georgina. He says in the documents that he sold his car for $20,000 in 2023.
Docherty did not respond to inquiries.
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