Item 7 from my Discovery Documents for the total benefit of Richard Macklin

I prepared this document one day before Jim Perry, Rick Macklin and Tony Wharton arrived for a meeting. I gave a copy to each party + I have the full meeting recorded.

1. What are you intending to achieve by appointing another Manager, a Manager that Rick does not know?

2. Why are you appointing another Manager?

3. Why are you not setting Rob DeBono up with a bullet-proof, streamlined system as we discussed.

4. Has any employee or salary earner of Macklin’s Transport enforced your decision on having me removed as Manager?

5. How will this new appointed Manager benefit the Wisteria Lodge, and most of all how will Rick benefit?

6. How will this new Manager reduce Rick’s risk of going bankrupt, which in turn will affect Macklin’s Transport?

7. You say the new Manager is experienced – for the benefit of Rick Macklin, can I see evidence of his experience? Can you ask him to supply Rick with a Police Clearance ?

8. My staff are loyal, and I dare say if I go most of them will go to, not forgetting their demands – such as Superannuation, which will strain Rick’s cash flow.

9. Systems take time and time is money – and if I recall – we have no money.

10. Do you understand the Accommodation Industry? Have you ever worked hands-on in the Industry?

11. Is it true you have known Gemma for most of your life? Did'nt you go to the same primary school "Our Lady of Queen of Peace" located at Albert Park ( thats at least 40 years ago)

12. How long have you known Rick Macklin?

13. How long have you known Rob DeBono?

14. How long have you known the new appointed Manager?

15. We all know that Rick has little to no skill when it comes to financial accounting, which is the heartbeat of any business. He relies on other people. Only because his time is taken elsewhere by 35 Semi-Trailers.

16. Therefore with me, Rob DeBono out of the scene (for what reason I don’t know - I do know but I can't mention at the moment). Rick would now have to rely solely on the advice and actions of yourself being Jim Perrie and Gemma Gordan, who is the CEO of Macklin’s Transport.

• With this being the facts of Rick’s situation, ‘do you feel this is unfair on Rick’s behalf and would you advise anyone to place themselves in this situation?’ I would understand if Rick was closing the Wisteria Lodge down, but for you to dump me and place your own Manager in place, does not make sense.

• Why did Gemma and yourself originally guide (set/advise) Rick to set up the Wisteria as a Sole Trader when Macklin’s Pty Ltd was set up as a company?
• When Sharon Macklin was here, Rick was in a much worse position financially, not to mention his heath (which now has led to diabetes). Rick’s stress levels were huge due to no support or positive direction from the manageress Sharon Macklin.
• At this point of time, there was no whatsoever systems in place, so why didn’t you step in and appoint a manager for the benefit of Rick and safety of Macklin’s Transport. I arrived on December 27^th 2005. I was told by David Bernardi that Rick was three weeks away from being liquidated. We will never know but if I didn’t come into play December 27^th 2005 would have Rick been sent to the cleaners?

• It has been just over three weeks and not only have you made a decision but you told me that you have a manager already organized. Have you explained the advantages and the disadvantages of your actions in full detail to so Rick knows what he’s up for?

To Save the Company

1. Streamline processes for strict cash management

2. Cash flow

3. Line of Credit / off set account

4. Consolidation of three loans

1. Two from Westpac $3300 per month
2. One from Bank of Wales #1250 per month

1. By re consolidating these three loan’s Rick will be able to reduce his Current payment by $36,000 per year – equivalent to 3 months rent – “THE WINTER PERIOD”

2. The following page is from Joe – the Hong Kong chef who had to leave the country yesterday due to Immigration deadline. I will have him return A.S.A.P

3. Yesterday I dropped all the necessary papers for Joe(chef) and my Strategy plan for Kangaroo Island to Hon Mike Rann’s office

4. I signed a contract yesterday for the Travel Auctions ad which will be displayed on March 15, 2007 during “A Current Affair”

5. This will be our third ad, since I have been here. Each ad generates an Estimate of 100 bookings with a guaranteed income of $18,000.00 + Room upgrades and dinner.

6. We are published in the Federal Discount Lodging Directory 2007 Which is distributed to all American government workers?