Tim Xenos, a former coconut water CEO who used more than $100,000 worth of company funds to pay for his personal legal and bankruptcy expenses, has been sentenced in the Downing Centre Local Court at Sydney to a term of imprisonment for 18 months to be served by way of an Intensive Corrections Order (ICO).
Mr Xenos, also known as Efthymios Xenos, was the former CEO and director of FAL Healthy Beverages Pty Ltd, which sold coconut water beverages under the brand name Coco Joy.
Following a contested hearing, in February 2025 Magistrate Horan found Mr Xenos guilty of managing a company while disqualified, in that while being bankrupt he made or participated in making decisions that affected the whole or a substantial part of FAL Healthy Beverages, contrary to s 206A(1)(a) of the Corporations Act 2001 (颁鈥檛丑).
Magistrate Horan also found that Mr Xenos used his position dishonestly and gained a financial advantage of approximately $111,392, contrary to s 184(2) of the Corporations Act 2001 (C鈥檛h), by using company funds to pay for personal legal fees and to seek to annul his bankruptcy.聽 Magistrate Horan also found that Mr Xenos deliberately failed to disclose his income and bank accounts to his bankruptcy trustee, contrary to s 265(1)(ca) of the Bankruptcy Act 1966 (颁鈥檛丑).
In sentencing Mr Xenos, Magistrate Horan said Mr Xenos demonstrated a lack of contrition and insight into his offending and that no other sentence but imprisonment was appropriate. 聽An additional condition of the ICO imposed on Mr Xenos was that he was required to perform 200 hours of community service work.
As a result of his conviction Mr Xenos is automatically disqualified from managing companies for five years until 27 February 2030.
The matter was prosecuted by the Office of the Director of Public Prosecutions (Cth) following a referral from ob体育.
On 9 May 2025, Mr Xenos filed an application to appeal the decision of the Local Court on an All Grounds (conviction and sentence) basis.
Background
Mr Xenos had earlier pleaded not guilty to the three offences and the matter was heard before Magistrate Horan in the Downing Centre Local Court from 24 November 2023 to 1 December 2023, from 29 April 2024 to 3 May 2024 and from 16 September 2024 to 4 October 2024.
Mr Xenos was found guilty on 27 February 2025 of offences against sections 206A(1)(a) and 184(2) of the Corporations Act 2001 (C鈥檛h) and section 265(1)(ca) of the Bankruptcy Act 1966 (颁鈥檛丑).聽 The maximum penalties for each offence were imprisonment for 12 months, five years and 12 months respectively.
Mr Xenos was declared bankrupt from 9 August 2011 to 15 September 2015.