'Battle-scarred general' Chris Jones shrugs off $386 million losses

Friday 8th June 2001

CHRIS JONES: Jobseeker

By Campbell McIlroy

Tech-wreck victim Chris Jones said yesterday the collapse of his company was like "being hit by a meteorite."

"You just don't expect it because everything else is going very well."

His company, Telemedia, once so successful it knocked Coca Cola Amatil off the ASX's top 200, was placed into receivership this week as the company's cashflow dried up.

Mr Jones, who had a paper wealth of $386 million at the height of Telemedia's success, looks likely to lose his fortune, although the business may be successfully sold. His 73% stake in Telemedia, a telco software specialist, was worth $45 million when share trading was suspended last month.

Mr Jones said his wealth had always been nothing more than on paper and he considered himself just an employee with a straight salary and none of the trimmings.

If he has accumulated a vast wealth it certainly does not show. The address he gives in Auckland - a property in Herne Bay - has a valuation of $440,000.

With the company now in receivership Mr Jones, who was named technology entrepreneur of the year last year, will work with receivers Ferrier Hodgson in packaging it for sale to get the best price possible.

Once the business has been sold, Mr Jones said, he would be back in the market looking for a job.

"A recruitment agent has already told me I'd be better off being a battle-scarred general than a fair weather general," Mr Jones said.

He says the company's prospect base was still expanding at the time of the collapse.

The company is reported to have $26 million worth of unpaid debts owed to it from the last quarter alone but Mr Jones would not name the debtors.

His nightmare began about three weeks ago when the company suspended trading in its shares as it grappled with its mounting unpaid debts.

Having reached a high of $A10 in March 2000 the shares plummeted to an all-time low of 27Ac in March this year before recovering to 73Ac when trading was suspended.

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