Ex-Masterchef judge George Calombaris’ restaurant empire goes into adminstation

Most of celebrity chef George Calombaris' restaurant empire is going into voluntary administration, following a $7.8 million wage controversy in 2019.

The restaurant business of former Masterchef judge George Calombaris has been put into administration. Source: AAP

Celebrity chef George Calombaris has put much of his restaurant empire into voluntary administration.

Advisory and investment firm KordaMentha has been appointed as administrators of 22 companies in the Made Establishment Group.

Calombaris' Made Establishment group, which KordaMentha says operates 12 restaurants and food venues in Melbourne, is going into voluntary administration after a meeting on Monday afternoon.

About 400 employees are set to lose their jobs.

Around 400 staff are expected to lose their jobs following the decision. Source: AAP

The only part of the business excluded from the appointment is a chain of four Yo-Chi outlets.

The administrators said in a statement that employees have been paid outstanding wages and superannuation up to the date of KordaMentha's appointment.

"To all my team, I truly regret it has come to this. I thank you from the bottom of my heart for your loyalty and friendship," Calombaris posted on his personal Instagram account.

"On a personal note, the last few months have been the most challenging I have ever faced."

His family property in Melbourne's affluent Toorak has also been listed for sale.

Real estate firm Kay and Burton has confirmed the property has been listed for an expression of interest campaign.

The decision to shut down the chef's business comes after it emerged last year Made Establishment staff were backpaid $7.8 million in wages and superannuation in 2017.

People walk past the entrance to Melbourne's Gazi restaurant, one establishment in the chain of venues now facing an uncertain future. Source: AAP

The Melbourne-based company was fined $200,000 by the Fair Work Ombudsman in July after current or former employees of the Press Club, Gazi and Hellenic Republic were back paid for work between 2011 and 2017.

Unions were outraged with the size of the fine, saying it should have been bigger.

A first meeting of creditors will be held next Thursday.

KordaMentha blamed "difficult trading conditions in the hospitality industry" and services like UberEats for changing costumer tastes to cheaper dining options.