Griffith winery boss launches Supreme Court action to recover money allegedly paid to local building designer

A company owned by prominent Griffith winery boss Joe Sergi has launched a civil NSW Supreme Court action to recover $914,908 allegedly paid to local building designer Carmel La Rocca.

Ms La Rocca denies Mr Sergi is entitled to this money from her.

According to court documents, Three Corner Group Pty Ltd, of which Mr Sergi is the sole director, alleges Ms La Rocca was paid this sum of money as part of a loan advance that was intended for Mr Sergi’s company.

“Ms La Rocca cannot in good conscience retain the money … [and] she has failed to return the money after demands having been made by [Three Corner Group] for its return,” Mr Sergi’s company said in its written claim to the court.

In her written response filed to court, Ms La Rocca denied she retained the money as alleged and denied she failed to return the money.

Mariacarmina (Carmel) La Rocca is also president of the Multicultural Council of Griffith Inc. She unsuccessfully ran to be mayor of Griffith in 2021.

Pasquale Giuseppe (Joe) Sergi is the sole director of longstanding Griffith winery Warburn Estate, which has experienced financial difficulties over the past few years.

The Supreme Court case is being contested in the civil jurisdiction.

Court documents state that in February 2023, Mr Sergi arranged for Warburn to engage Bricklane Advisors Pty Ltd as a financial consultant.

Bricklane, owned by Sydney-based finance expert Matthew Eid, provides broker-type services to secure loans for clients. Court documents state Mr Eid negotiated a loan of $7.2 million for Mr Sergi’s company Three Corner Group from the lender Tesoriero Family Trust.

Warburn Estate’s land, plant, equipment, trademarks and cellar door were sold to another Griffith business, Meditrina Beverages Pty Ltd, in early 2024. However, Warburn remains a registered company.

Court documents state that on 7 March 2023, the lender paid an advance of $2.5 million as part of the loan intended for Mr Sergi’s company Three Corner Group. It is alleged Mr Sergi received $1.5 million of that amount and that Ms Rocca received $914, 908.

“Mr Sergi did not authorise Mr Eid, the lender or the lender’s representatives to pay any sum of money to Ms La Rocca as part of the second advance, or at all,” his company’s written claim to court states.

The statement claims that Ms La Rocca was asked to return the money on three occasions – via a text message, email and letter from Mr Sergi’s legal representatives.

Three Corner Group has sought the $914,908 plus interest (3 per cent per calendar month) and the costs of court proceedings from Ms La Rocca.

Ms La Rocca denies the statements made in the Three Corner Group claim and states that it is not entitled to the money it is pursuing. Court documents do not explain for what reason or purpose this money was allegedly given to her.

Three Corner Group also alleges that Mr Eid “breached his fiduciary duty” by “directing or otherwise causing the lender to make payment of the money to Ms La Rocca.” A fiduciary duty is the legal responsibility to act in the best interest of your client.

In his written statement to court, Mr Eid denies this assertion and also states that Three Corner Group is not entitled to the money it has sought. He does not admit to any of the claims Mr Sergi’s company made to the court.

This Supreme Court case is scheduled to have a directions hearing on Thursday 26 September. A directions hearing is a short court appearance where a registrar will make orders about the next steps of a dispute.