Richard Facioni, the former chairman of collapsed fashion group Mosaic Brands, will not face court this week as planned after being called upon to answer questions from liquidators examining the retailer’s dramatic failure and mounting debts.
Mr Facioni had been scheduled to undergo a public examination in the Federal Court on Monday. The hearing forms part of a long-running investigation into Mosaic Brands, the former ASX-listed company behind women’s fashion chains including Noni-B, Katies, Millers and EziBuy.
The retailer, which operated about 700 stores, collapsed in 2024 with reported debts of $249 million. Almost 3,000 employees lost their jobs in the fallout.
Creditors voted to place the business into liquidation in mid-2025. Around the same time, the Federal Court ordered Mosaic to pay a $25 million penalty after finding that customers had been charged for orders delivered late or never supplied, according to the Sydney Morning Herald.
A preliminary assessment by the liquidators indicated Mosaic may have been insolvent from December 2020 until administrators were appointed in about October 2024.
In December 2025, the Federal Court of Australia appointed Wexted Advisors as special purpose liquidators, tasking them with conducting a detailed review of the company’s operations and uncovering what led to its downfall.
The liquidators said in a creditors’ report issued in May 2026 that claims against Mosaic had surpassed $355 million, with unpaid debts dating back to at least August 29, 2022. The report said investigators had spent 606 hours examining the company’s financial records and other documents over a five-month period.
But the liquidators have declined to reveal how much they believe Mosaic’s directors could ultimately be liable for, arguing that releasing those figures would be inappropriate while legal proceedings remain active.
Former Mosaic Brands chairman Richard Facioni pictured with former chief executive Erica Berchtold, who is now CEO of David Jones
Mr Facioni was among eight senior figures placed under a worldwide asset disclosure order
Richard Facioni had been due to face a public examination in the Federal Court on Monday as liquidators investigated the collapse of Mosaic Brands, the company behind women’s retailers including Noni-B, pictured, Katies, Millers and EziBuy
Mosaic’s special purpose liquidators sought directions from the Federal Court in May after former directors, including Mr Facioni, asserted legal privilege over documents considered important to their safe harbour defence against claims of insolvent trading.
Safe harbour can protect directors from personal responsibility for insolvent trading when they are taking genuine and reasonable steps to restructure a company in financial distress, rather than moving immediately to administration or liquidation.
The privilege dispute was considered during a two-day hearing in July, although the court has not yet delivered a final judgment.
As part of their investigation, the liquidators secured production orders in March requiring 21 parties to provide company books and records. A further 15 people were summoned to appear before the court and answer questions.
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Mr Facioni was also one of eight former executives ordered to disclose details of their worldwide assets, debts and liabilities.
Former chief executive Erica Berchtold and ex-CFO Luka Softa were among those subject to the orders. Each was required to submit a “full and detailed affidavit” containing an itemised list of all property held anywhere in the world.
The week before his examination was due to take place, Mr Facioni filed an interlocutory application seeking more time. The temporary adjournment was granted two days later, with the court directing him to provide additional evidence, including an affidavit and expert medical report, by 4pm the following Friday.
His application also seeks an extension for Mr Facioni and his private equity firm, ACTA Capital, to provide documents required under two separate production orders.
The interlocutory application is expected to return to the Federal Court after October 30. At that hearing, the judge will consider Mr Facioni’s medical evidence and determine when his public examination and remaining document orders should proceed.
Adding to the secrecy surrounding the case, part of the evidence underpinning Mr Facioni’s bid for an adjournment, an affidavit from one of his solicitors, Joseph Abberton, has itself been sealed by the court, with access restricted to the judge, the liquidators and his legal team until October 30.
The delay follows a string of adjournments already granted to the high-profile private equity operative since he was first given document production orders in March. By September, the orders had been adjourned seven times, before liquidators handed him fresh orders to produce specific documents.
Over this time, other senior figures, including Ms Berchtold, who is now David Jones CEO, underwent public examination in the court.
On Wednesday, Mosaic Brands’ former non-executive director Sue Morphet took the stage for public examination
In 2024, the previously ASX-listed apparel company behind 700 stores collapsed with a reported $249million in debt, leaving almost 3,000 workers without a job
Mosaic’s former chief financial officer Luka Softa underwent a public examination on September 30. However, the questions he was asked and the answers he provided are being kept under wraps, with his legal team giving the court a written undertaking not to disclose them.
On Wednesday, Spotlight Retail Group’s chief executive Quentin Gracanin and Mosaic Brand’s former non-executive director Sue Morphet took the stage for their examination.
Mr Gracanin simultaneously served as a non-executive director of Mosaic Brands as well as sitting on its risk committee.
Written undertakings were also presented to the court barring the disclosure of questions and answers provided during their respective examinations.