Tycoon goes from mansion to parents' home
By staff writers
NEWS.com.au
July 13, 2009 09:27am
Home again ... Gen-Y internet tycoon Daniel Tzvetkoff has reportedly swapped a mansion for his parents' house / File
HE WAS once the pin-up boy of Australia's Generation-Y entrepreneurs.
But it seems 25-year-old Daniel Tzvetkoff has gone from a million-dollar mansion and Lamborghini to reportedly living back at home with his parents.
The internet tyro is now fighting a bitter battle with his estranged business partner, lawyer Salvatore "Sam" Sciacca, and struggling with company debts of more than $61 million that include at least $5 million in unpaid taxes, The Australian reports.
The Ipswich-born Mr Tzvetkoff last year debuted as the youngest inclusion on BRW magazine's Young Rich List, with an estimated worth of $120m shared between him and Mr Sciacca.
However, last week the parent company of his business empire, the eight-year-old BT Projects, was put into voluntary administration with forensic accountants already finding few assets apart from a labyrinth of inter-company loans between the web of subsidiaries.
The company is understood to have been making about $12 million a year in profit by providing billing services for more than 4000 online merchants worldwide.
Mr Tzvetkoff has denied claims he diverted more than $35 million out of his embattled company to fund a lavish lifestyle of imported cars, beachfront mansions and parties.
An internal audit of BT Projects allegedly unearthed systematic discrepancies in the financial records that contributed to its corporate failure.
Mr Sciacca has filed a $US90m lawsuit against Mr Tzvetkoff, claiming the 25-year-old secretly falsified company records - including inflating profits - to pay for his luxurious lifestyle, which included last year's purchase of a $28m Gold Coast mansion.
In a statement to The Australian, Mr Tzvetkoff's lawyers said the entrepreneur strenuously denied Mr Sciacca's allegations and would fight him in court.
Mr Sciacca told reporters on Saturday that he had personally sold $3 million of assets to cover unsecured smaller creditors of BT Projects.
About $1 million was used to pay the entitlements of 130 staff who had been laid off.
"Reputation is everything ... I just want to get into court to tell my story," he told Brisbane's Sunday Mail.
It will be alleged that Mr Tzvetkoff siphoned off more than $35m from the company's accounts for his private use.
In his lawsuit, Mr Sciacca claimed his co-director falsified the books to inflate the company's profits and show creditors had been paid when they had not.
Among the items allegedly paid for with company money was a $725,000 Lamborghini; an $80,000 advanced driving course; sponsorship of a V8 Supercar team; a $70,000 golf membership; and a $10,000 pet.
I know I shouldn't be laughing too hard, but sucked in to him.
By staff writers
NEWS.com.au
July 13, 2009 09:27am
- Daniel Tzvetkoff on BRW Rich list in 2008
- His company is now in receivership
- Now reportedly living with his parents
- Business Owner: Check the latest news
HE WAS once the pin-up boy of Australia's Generation-Y entrepreneurs.
But it seems 25-year-old Daniel Tzvetkoff has gone from a million-dollar mansion and Lamborghini to reportedly living back at home with his parents.
The internet tyro is now fighting a bitter battle with his estranged business partner, lawyer Salvatore "Sam" Sciacca, and struggling with company debts of more than $61 million that include at least $5 million in unpaid taxes, The Australian reports.
The Ipswich-born Mr Tzvetkoff last year debuted as the youngest inclusion on BRW magazine's Young Rich List, with an estimated worth of $120m shared between him and Mr Sciacca.
However, last week the parent company of his business empire, the eight-year-old BT Projects, was put into voluntary administration with forensic accountants already finding few assets apart from a labyrinth of inter-company loans between the web of subsidiaries.
The company is understood to have been making about $12 million a year in profit by providing billing services for more than 4000 online merchants worldwide.
Mr Tzvetkoff has denied claims he diverted more than $35 million out of his embattled company to fund a lavish lifestyle of imported cars, beachfront mansions and parties.
An internal audit of BT Projects allegedly unearthed systematic discrepancies in the financial records that contributed to its corporate failure.
Mr Sciacca has filed a $US90m lawsuit against Mr Tzvetkoff, claiming the 25-year-old secretly falsified company records - including inflating profits - to pay for his luxurious lifestyle, which included last year's purchase of a $28m Gold Coast mansion.
In a statement to The Australian, Mr Tzvetkoff's lawyers said the entrepreneur strenuously denied Mr Sciacca's allegations and would fight him in court.
Mr Sciacca told reporters on Saturday that he had personally sold $3 million of assets to cover unsecured smaller creditors of BT Projects.
About $1 million was used to pay the entitlements of 130 staff who had been laid off.
"Reputation is everything ... I just want to get into court to tell my story," he told Brisbane's Sunday Mail.
It will be alleged that Mr Tzvetkoff siphoned off more than $35m from the company's accounts for his private use.
In his lawsuit, Mr Sciacca claimed his co-director falsified the books to inflate the company's profits and show creditors had been paid when they had not.
Among the items allegedly paid for with company money was a $725,000 Lamborghini; an $80,000 advanced driving course; sponsorship of a V8 Supercar team; a $70,000 golf membership; and a $10,000 pet.
I know I shouldn't be laughing too hard, but sucked in to him.
