Adelaide City Council has agreed to wipe over $75,000 debt incurred by the now-defunct Soundwave Festival before it collapsed, essentially leaving ratepayers to foot the bill.
The festival was last held in Bonython Park in February 2015, a year before the whole tour fell apart. Soundwave Festival Pty Ltd – owned by AJ Maddah – neglected to pay the relevant event fees.
Liquidators appointed to recover the debt the following year managed to secure the council a payment of two cents for every dollar owed (totalling $1529) but this year confirmed they anticipated no further payments.
The local council has since decided to write off the remaining $75,391 as “bad debt.”
The council is just one of many to still be hurting after Soundwave’s demise. AJ Maddah canned Soundwave Music Festival last year after wracking up debts estimated around $25 million.
At one point, this included outstanding payments to some of the world’s biggest music acts including Soundgarden, Slipknot and Smashing Pumpkins, as well as traders, catering, security and other suppliers and stakeholders.