Supreme Court action has been launched against 35 directors of the collapsed Mowbray College.
Court documents show liquidators are chasing the directors of the failed independent school for more than $500,000, with claims that family deposits were misused.
The writ shows families were required to pay a “family deposit” when each child was enrolled, which could be refunded or used to offset any final payments owing, or remitted to the school building fund as a tax-deductible donation.
Mowbray College, which had campuses in Melton and Caroline Springs, owed about $28 million when it went into receivership in 2012.
About 700 students were left without a school.
Court documents also claim the directors pursued overseas ventures and “failed to seek or obtain proper approval of the board … to expend money on the overseas ventures”.
The document alleges that, at the time, the school was “receiving little or no return from its investment in, or expenditure on, the overseas venture”.
Star Weekly reported in May this year that the former Mowbray College site would reopen as a high school next year.
In 2012, Intaj Khan, a Wyndham businessman and councillor, bought the Caroline Springs campus of the former college for $6.7 million with plans to develop a primary school on the site.
But after conducting a study the plans were abandoned, Mr Khan saying there was a greater need for a secondary school in the area.
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