ASIC Moves to Wind up Derrimut 24:7 Gym Empire

LBig L on 19/08/2025 - 22:50

Looks like that's curtains for the awesome Derrimut 24:7 gym empire, a favourite of most OzBargainers 😞

Take a look at the links below the article, what a foreseeable disaster.

https://www.ausleisure.com.au/news/asic-moves-to-wind-up-der…

Excerpts from article:

Return to Work SA, Melbourne United Basketball and Fitness Equipment Pty Ltd are listed as creditors supporting the wind-up application, which will be heard in the Federal Court in Melbourne on 22nd August.

The wind-up order comes after the Australian Taxation Office (ATO) lodged a separate Federal Court application in April alleging the fitness chain owed more than $14.6 million in unpaid taxes.

…The ATO then filed a Victorian County Court claim in June suing the chain’s owner Nikolaos Solomos for $11.3 million, including more than $250,000 is in superannuation, $5 million in GST payment, $4.6 million Pay As You Go (PAYG) and $1.4 million personal income tax.

In April this year, ASIC also initiated the deregistration of another Derrimut entity, 665 Derrimut Pty Ltd.

Australasian Leisure Management is aware of at least eight registered businesses within the troubled Derrimut gym group….

Sports & Outdoors

Related Stores

Derrimut 24:7 Gym
Derrimut 24:7 Gym

Comments

  • jv on 19/08/2025 - 23:04
    +1

    @AkuroPlays has a lot to answer for…

    https://www.ozbargain.com.au/search/node/Derrimut%20type%3Ao…

      • jv on 19/08/2025 - 23:10

        Saint Nikolaos ? 🎅

  • USER DC on 19/08/2025 - 23:33

    What happens to members ? and the prices payed then now ??

    • jv on 19/08/2025 - 23:37

      Unsecured creditors…

      • USER DC on 19/08/2025 - 23:37

        direct debits and stuff will be removed automatically ??

        • jv on 19/08/2025 - 23:38
          +2

          I'd contact your bank straight away to cancel them…

        • Big L on 20/08/2025 - 01:57
          +2

          You've done your cash on time to date, and call your bank to cancel immediately as once they take the money, you won't get it back.

  • Far Cough on 20/08/2025 - 00:33
    +8

    Ohh no, I always knew going to the gym was a bad idea.
    This confirms it.

  • 87percent on 20/08/2025 - 08:29

    Some other gym chain should lowball them for some of their locations and then swap the name

    • plmko on 20/08/2025 - 10:19
      +2

      No need. This will magically pheonix as 11:7 Gym and operate as if nothing happened.

  • AustriaBargain on 20/08/2025 - 10:08

    Borrowing against your own tax obligations can be smart, if resulting growth is guaranteed.

    • mskeggs on 20/08/2025 - 10:23

      There is some serious revenue here. $5m in GST indicates they sold $50m in memberships, an extraordinary amount, and surely multiple years.
      They must have never paid a cent in GST.

      • plmko on 20/08/2025 - 11:21
        +2

        Begs the question why does the ATO allow business to run insolvent for so long. If this was the US IRS, there would be raids and gaol time all within 2years.

      • AustriaBargain on 20/08/2025 - 11:30

        Covid must have been a kink in their plans.

  • try2bhelpful on 19/09/2025 - 13:41
    +1
    Merged from Derrimut Gym Article in The Age

    https://www.theage.com.au/national/victoria/a-house-of-cards…

    I think we all suspected this was what was happening, wonder how long before it all collapses.

    • beeawwb on 19/09/2025 - 13:53
      +4

      I'm shocked. Shocked!

      Well, not that shocked.

    • Fredfloresjr on 19/09/2025 - 14:01
      +1

      He already pocketed the money.

    • dogboy on 19/09/2025 - 14:02

      Paywalled

      • Mechz on 19/09/2025 - 14:38

        Works in private browsing ok.

    • AustriaBargain on 19/09/2025 - 14:11

      I've done my part, I got a one year membership and haven't been in four months. If they go under I'll have to pay like $800 or whatever for a normal gym.

    • holdenmg on 19/09/2025 - 14:17

      It is happening in SA as well at Derrimut 24:7 Gym in Noarlunga and Melrose Park and elsewhere.

    • netjock on 19/09/2025 - 14:42
      +2

      He is like that guy who is being chased for NDIS fraud. A few years ago he was a taxi driver then now raking in tens of millions while NDIS participants live in unhabitable homes against their will.

      These so called business people decide to dive off a cliff before they can crawl. They read about Uber and Amazon funded by era of zero interest rate venture capital. They use everything and everyone like it is cheap funding and they'll worry about it later.

      Suppliers allowing them to have tens of millions in liabilities is another extraordinary state of affairs. Bypassing credit policies because they are blinded by "success".

      His financial advisors are either yes people who would rather get paid to shut up than do the right thing.

      The best part is he might lose everything then resurface in a few years time on the speaking circuit about his resilience and he now runs a (mediocre) business consultancy helping businesses grow.

    • JIMB0 on 19/09/2025 - 16:18

      Classic.

  • Gdsamp on 24/09/2025 - 19:01
    +1
    Merged from Adrian Portelli Steps in to Save Derrimut Gym from Collapse

    ‘Lambo Guy’ Adrian Portelli Steps in to Save Derrimut Gym from Collapse

    Billionaire businessman Adrian Portelli — better known as the ‘Lambo Guy’ — has stepped in to rescue a struggling gym chain, snapping up a major stake as the company faces mounting debts and site closures.

    The fitness empire, Derrimut Gym, which runs 25 gyms across Victoria and South Australia, owes $12.5 million to the ATO, with unpaid staff wages and bills piling up.

    Thank you to LMCT+ subscribers for stepping up to rescue this beloved franchise….

    • Typical16-bitEnjoyer on 24/09/2025 - 19:12
      +2

      32 staff per location? Doubt.

      He'll put in some risky money, get repaid his risky money, milk some profit, then GTFO.

    • jv on 24/09/2025 - 19:28
      -3

      Bargain !!!

    • 87percent on 24/09/2025 - 19:40
      +2

      It’s like trying to scoop water out of a sinking boat with a tea spoon

    • netjock on 24/09/2025 - 19:47

      Yeah good luck.

    • jv on 24/09/2025 - 19:56
      -1

      They're going to renovate all the Gyms and auction them off in the next series of 'The Block'.

      • Far Cough on 24/09/2025 - 20:36
        +1

        they going to introduce Block Heads

    • AustriaBargain on 25/09/2025 - 00:14

      The gyms are actually decently designed. They just need to be decently maintained and have more members. The one I go to could accommodate four times as many people during peak times. Which would be bad for me. I'm expecting the landlord to change the locks any day now anyway.

    • joka on 25/09/2025 - 05:57

      An endless supply of cheap giveaways, free gym memberships. There’s a good way to diversify your customer base.

    • pegaxs on 25/09/2025 - 08:47
      +2

      "Lambo Guy" sounds a lot like a name someone gives themselves.

      So, a grifter buying a gym that has been grifting people… Got a feeling it's going to be kick started again, all the status quo will remain, the grifter will gut it all and make a fortune and then it will get wound up again, but this time, with nothing and leave everyone else without any money and "Lambo Guy" with another "Lambo"…

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