One of Australia's largest debt collection firms pursued more than 200,000 individual debts in Victoria while allegedly prohibited from operating in the state, according to revelations from Guardian Australia.
Consumer Affairs Victoria has launched legal proceedings against Panthera Finance, alleging the company breached Victorian fair trading laws by continuing debt collection activities after being declared a "prohibited person" in June 2022.
The Alleged Breach and Scale of Operations
Despite receiving a formal letter from CAV's executive director instructing it to "immediately cease engaging in any business activities in Victoria" in June 2022, Panthera allegedly continued its operations through a different entity: Panthera Finance (Vic) Pty Ltd.
Between May 2022 and June 2024, the company contacted 221,729 accounts for collection in Victoria. Sources indicate that from mid-2022 until its acquisition in December 2024, Panthera and its associated companies successfully collected more than $40 million from tens of thousands of Victorian consumers while allegedly flouting the ban.
Legal Proceedings and Consumer Recourse
The case, which will determine whether Panthera Finance Pty Ltd was indeed a prohibited entity, is listed for a committal hearing at the Melbourne Magistrates Court. If the court finds Panthera breached the state ban, affected consumers who paid the company during this period could be entitled to refunds under the Australian Consumer Law and Fair Trading Act.
Parramatta-based Francom Group purchased Panthera Finance last December and stated it would seek to resolve the legal proceedings "as quickly as possible." However, a spokesperson for Francom categorically denied the accuracy of the alleged facts presented by the Guardian and declined to comment further while the matter is before the court.
Company Response and Industry Impact
Internal documents reveal that Panthera assured clients it was "business as usual" in Victoria despite the regulator's ban. In a November 2022 letter to clients seen by the Guardian, the company claimed its Victorian operations had been assigned to Panthera Finance (Vic) Pty Ltd, which it said was not subject to the prohibition.
However, for this transfer to be lawful, the company needed to undertake proper debt sale agreements, which sources indicate did not occur. The same client communication addressed whether consumers might challenge debts collected during this period, with Panthera maintaining confidence that it had "abided with all the relevant laws."
The Victorian prohibition stemmed from a 2020 Federal Court ruling that found Panthera had unduly harassed three consumers for debts, resulting in a $500,000 fine. This finding automatically made Panthera a prohibited person under Victoria's debt collection laws.
Francom Group, owned by lawyer Charles Antoun with his wife Georgina as CEO, now controls a total debt book worth $1.4 billion, with approximately $450 million located in Victoria. The company has announced ambitions to transform perceptions and practices within the debt collection industry.
Georgina Antoun stated that all allegations against Panthera occurred under prior ownership and that Francom immediately began transforming the company's practices upon acquisition. The five-year prohibition on Panthera lifted in March this year, but Francom has yet to resume debt collection activities in Victoria pending the court's decision.
