A West Australian Indigenous group, the South West Aboriginal Land and Sea Council (SWALSC), is seeking government intervention after losing over $13.5 million in a failed attempt to convert the dilapidated El Caballo Blanco equine theme park into housing for the homeless. Purchased in 2020 at nearly double its true value, the deal was mishandled by Equity Trustees (EQT), the ASX-listed company managing the charity’s funds, which failed to conduct proper due diligence. SWALSC demands $21 million in reparations, covering the purchase price, repair costs, and lost investment earnings, while EQT denies wrongdoing. The case highlights concerns over trustee accountability and the effective use of charitable funds intended to support the Noongar community.
This dispute could become a significant test of Western Australia’s 2022 laws designed to strengthen oversight of charitable trusts. SWALSC is considering asking the attorney general to remove EQT as trust manager to prevent further mismanagement, aiming to avoid a costly legal battle. WA Attorney General Tony Buti expressed disappointment in EQT’s conduct and emphasized consultation with Noongar representatives before any action. Legal experts view the case as a critical example of the need for tighter regulation and transparency in the state’s multi-billion-dollar charitable trusts sector.
