The recent announcement about the possible merger of BIA Victoria with the group known as BIA Ltd, whose geographic commission covers NSW, South Australia and Queensland, has created unrest amongst the majority of the BIA Victoria Life members.
BIAV Life Member – John Temple
Speaking on behalf of the concerned group was John Temple, ex supremo of Mercury Marine and Life Member, who also acted as the interim CEO of the BIA Victoria prior to the appointment of Steve Walker the current CEO.
John spoke on behalf of the majority of Life Members including ex-Presidents David Heyes, Ian Heres, Colin Brewer and Peter Buckingham who all endorsed these concerns.
At the heart of the concern is the lack of transparency of any future plans to ensure a positive outcome for our members.
The group are concerned that a copy of the so called and much publicised “transition agreement” signed at the Sydney International Boat Show has been requested but access has been denied. It is reported that even though the BIAV board has repeatedly said this annexation is for the member’s benefits, though no members know what has been committed to in this document.
Temple said, “The Life Members of the BIAV have been leading the effort to have all the details of the “take-over” and whatever benefits, or down sides, be shared with members.”
Temple suggested that “The board seemed mesmerised after Darren Vaux skilfully presented a PowerPoint presentation, which in my opinion was light on the down side detail but strong on “blue-sky” benefits to “merge” the BIAV. I was on the board when this occurred and was the lone voice against proceeding. On the current board the now Life Member representative, Peter Buckingham is again the lone voice.”
“It appears to me and the concerned Life Members that the current board appears completely focused and intent on proceeding regardless of requests for transparency of the agreement.”
“Unlike the Queensland Association who were bailed out through financial stress, and the South Australia Association through low membership numbers both “saved” by Sydney’s BIA Ltd. However Victoria is in a positive financial position with strong membership, an optimistic future with its first post pandemic boatshow in October, and able to assist members well into the future.”
John believes that under this take-over agreement the BIAV will be liquidated and around $4 Million of BIAV members’ assets of will be relinquished and managed by the Sydney centric BIA Ltd.
Further questions arose about how the new entity will be run, with the BIA Ltd building in Sydney’s Crows Nest now sold and the Head Office team dispersed. The current BIA Ltd Co-General Managers are located and work remotely from the Adelaide Hills in South Australia and the Sunshine Coast in Queensland. Their Financial Controller has been contracted in and also works remotely from an office in Queensland for the BIA and another Marine Industry entity.
Temple said that “The Life Members are concerned that the BIAV board has proceeded with this process based on a response of a yes/no survey where only a very small number of members replied from around 240 of the whole membership.”
“What’s even more disturbing is that when it comes to a membership vote to proceed or not, this will occur at a Special General Meeting where a low turnout could have as few as 20 members decide the outcome under the 75% rule of members attending and voting and could influence the outcome on behalf of all members.”
Temple and the Life Members believe that the foremost concern is that the vast majority of the membership do not fully understand the consequences if the agreement proceeds. He claims that the BIAV will be liquidated and an approximate $4 Million of members’ assets “will just be relinquished after 62 years of supporting Victorian marine businesses.”
“If the take-over does occur, we assume the 2 Victorian representatives on the BIA Ltd counsel will have only 25% of voting power over what happens to our ~$4.0M, so it could be spent in any region.”
Temple said, “Having recently sold the BIAV headquarters in South Melbourne conditional on the back of a pledge to members to reinvest in new premises, this now possibly appears doubtful.”
He said “The original concept of the BIAV investing in bricks and mortar back in the early 1990’s was for exactly what the past two and half years has presented, tough business times. The buildings value was to be called upon when required, and this is exactly what occurred in realising $4.1M to be invested in member support.”
Temple advised that “Life Members have put forth alternative business models, one based on regional associations supporting a national body such as the Victorian Automotive Chamber of Commerce, in fact the CEO of the VACC was willing to present their business model to the BIAV board but this was rejected.”
“Another option presented was on the same basis of MOU the BIAV / BIA Ltd of joint marketing and program sharing agreement previously signed by Howard Glenn (BIA Ltd) and Mark Crockford (Previous BIAV President) did not get a hearing.”
The current BIA Victoria Life Members who are airing these concerns are asking that all BIA Victorian members ensure they are fully informed and take measures to participate in discussions, attend meetings and vote. Members need to realise that if this takeover proceeds the BIAV will cease to exist.
Temple said, “The Life Members will respect the final decision of the BIAV membership if the vote is to proceed and “merge” with the BIA Ltd.”
