The article is written by Scout Wallen.

The topic is businesses.

It was published on Sat 25 Jul 2026 at 2:54pm.

It was updated on Sat 25 Jul 2026 at 3:11pm.

Liberty Bell Bay, Australia's only manganese smelter, closed recently.

In short, the company had financial problems.

The administrators finished their report after the company closed.

They think the company was insolvent since May 2025.

What happens next?

A meeting will be held to decide if a liquidator will be appointed.

The administrators believe the company was insolvent since May last year.

The smelter in Tasmania closed, leaving 200 workers without jobs.

Liberty Bell Bay was part of GFG Alliance, owned by Sanjeev Gupta.

The report said Liberty Bell Bay may have been insolvent.

The administrators think the company was insolvent from May 1, 2025.

The company got a $20 million loan from the state government in August 2025.

The loan helped the smelter buy a shipment of ore.

The report estimated the company owed creditors between $70 million and $300 million.

A company is insolvent when it cannot pay its debt.

The administrators had reasons to think the company was insolvent.

The report said the company may have traded while insolvent, owing $25 million.

The company had net losses of $21 million in 2022-23 and $80 million in 2024-25.

Deputy Premier Guy Barnett is concerned about the company's insolvency.

Mr Barnett said Sanjeev Gupta and GFG showed irresponsible behavior.

The government did due diligence to secure the loan.

The government did everything possible to help.

There were inter-company loans.

GFG Alliance moved $200 million out of Liberty Bell Bay via inter-company loans.

The administrators found the net inter-company loan balance was $191 million.

The company had limited cash resources due to inter-company loans.

A creditors meeting will be held on August 3 to decide the company's fate.

See more ABC coverage.

Promotion

Praticar Escuta