THE BALD FACED STAG // EXCLUSIVE—Former Employee Reveals Extent Of Fraud

It has recently come to light that the former General Manager and lease holder of The Bald Faced Stag, Scott Mackenzie, has allegedly been defrauding bands and promoters. Sources say the landlord of the building has removed Ulladulla Property Services Ltd as venue management for abandonment and unpaid rent.

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In 2009, Mackenzie was previously indicted on a $5.7m fraud conviction and jailed in New Zealand after he pleaded guilty to ten charges of obtaining by deception. He defrauded former New Zealand Rugby League players, a bank, and some high profile businessmen.

Since the airing of the recent allegations at The Stag in TheMusic.com.au, another employee has come forward to Hysteria with more information about the fraud allegedly committed by Mackenzie.

Not only have big name bands like The Dillinger Escape Plan and The Peep Tempel not been paid, but our source alleges that Mackenzie also withheld payments to advertisers, printers and other suppliers employed for the tours set up by Mackenzie’s touring company Stag Music Touring Australia.

“Scott created Stag Music Touring Australia within the venue and we were excited as it was a great opportunity to bring in more local artists and international acts,” the employee says, on the condition of anonymity.

“Unfortunately it never turned out that way. Settlements after gigs were written up and money handed to bands and promoters on the night with the online transactions to be processed by Scott.”

The employee alleges Mackenzie was depositing all online transactions from ticket sales through Moshtix to himself. The receipts from sales never reached the bands.

It wasn’t until complaints about unpaid invoices it became apparent that something was wrong. It wasn’t just bands who were out of pocket, it was printing companies and advertising outlets invoicing Stag Touring for work on the upcoming Once Human and Pain tours.

“The Sydney leg of the Once Human tour, the Blood Oath festival, was set to be an annual event,” the employee says.

“Unfortunately the show started to fall apart when the Harbour agency cancelled the appearance of Rick Dangerous and The Silkie Bantams. We were informed that the band and agency refused to support a venue that doesn’t pay the bands it has playing.”

After questioning, Mackenzie insisted that all previous bands were paid and laughed off the cancellation of Rick Dangerous.

Hysteria has since also learned that the original business name; Stag Touring Australia, was quietly changed to Stag Touring Australasia last December, and all banking for the venue and touring companies was kept separate.

There are also allegations that Mackenzie has, while claiming bankruptcy, purchased a hotel in Kensington NSW.

More to come.