Debts owed by Melbourne chef Scott Pickett to a collapsed superannuation fund have escalated to over $18 million. This financial turmoil comes as Pickett seeks a new backer for his restaurant group, Rogue Traders, which operates four popular venues. A clearer picture of the borrowings from the First Guardian superannuation fund has emerged ahead of an important meeting this week, where more details about the potential financial partner are expected to be disclosed.
In late September, Pickett appointed administrators to Rogue Traders to facilitate the restructuring of the business, which is primarily owned by the now-defunct First Guardian fund. This fund, which managed approximately $500 million in superannuation investments for nearly 6,000 Australians, collapsed in April during an investigation by the Australian Securities and Investments Commission (ASIC). The investigation focused on allegations that the fund’s management, led by Pickett’s business partner David Anderson, mismanaged investments, allocating funds to ventures unrelated to superannuation.
Initially, it was believed that Pickett’s business had borrowed around $12 million from First Guardian. However, liquidators revealed that Rogue Traders had actually received $17.63 million from the fund between June 2020 and August 2024, primarily for acquiring real estate and expanding Pickett’s restaurant group. The funds also covered a separate $530,000 loan to another of Pickett’s businesses, a catering enterprise.
In 2020 and 2021, as many restaurateurs struggled with COVID-19 restrictions, Pickett actively expanded his portfolio. He acquired the shuttered Longrain and its upstairs bar Longsong, along with the venue that became Chancery Lane. His other notable openings during this period included Audrey’s at The Continental Sorrento and Smith St Bistrot, featuring a sleek design with red leather booths and marble-topped tables.
The liquidators’ report indicates that the funds advanced to Rogue Traders were also used for property purchases, including an apartment in Fitzroy and the Little Collins Street site for Chancery Lane. Both properties are currently being sold by receivers appointed by the Commonwealth Bank, which had previously lent Rogue Traders $10 million before its financial troubles.
Despite the challenges posed by First Guardian’s collapse, Pickett has continued to operate his restaurants, which remain highly popular. A spokesperson for Pickett confirmed that a new partner is in the works, stating, “We continue to work with a potential strategic partner with the goal of ensuring the long-term future of our business.” The spokesperson emphasized that all restaurants are currently fulfilling bookings, honoring gift vouchers, and planning events for 2026 and beyond.
The prospective new partner is expected to act as a financial backer rather than a co-owner or manager, with the capability to assist Rogue Traders in financial management and future ventures. However, administrators have cautioned that the funding arrangement being negotiated will not eliminate the $12 million debt owed to the Commonwealth Bank, leaving little for other creditors, including the First Guardian fund.
Rogue Traders’ financial records have reportedly not been properly maintained since 2022. At the time of administration, Matilda on Domain Road in South Yarra owed Rogue Traders $5.6 million, while Chancery Lane owed $5.8 million. The Collingwood fine diner Smith St Bistrot had an outstanding debt of $3.7 million, Longrain owed $2.1 million, and Pickett’s food preparation business was liable for an additional $1.8 million.
The liquidators to First Guardian have warned that despite the significant amounts owed, any recoveries are likely to be minimal. Another of Pickett’s businesses, Pickett Commercial, appointed liquidators in November after receiving a statutory demand from First Guardian in September. Their report noted a lack of engagement or payment regarding accrued but unpaid interest from Pickett’s companies.
As the situation unfolds, the focus remains on how Pickett will navigate this financial crisis and what steps he will take to secure the future of his renowned restaurant empire.
