The founder and former chief executive of a financially distressed cybersecurity company was shut out of its systems before being accused of charging substantial personal expenses to a corporate credit card, as the firm’s debts to creditors climbed beyond $3 million.
Craig McDonald, the MailGuard founder once promoted as an “award-winning entrepreneur and cybersecurity visionary”, brought a claim against his former company before the Fair Work Commission last month.
Mr McDonald alleged he had been dismissed unlawfully after exercising workplace rights to raise concerns and ask questions about his employment.
However, the FWC rejected his application, filed on August 14, because it was submitted 18 days beyond the deadline. The commission did not rule on the substance of his allegations.
In its published ruling, the FWC said Mr McDonald faced serious allegations of misconduct when his employment was ended.
ASIC records also show that receivers were appointed to MailGuard in June, with the company owing Macquarie Bank $1 million, Daily Mail can reveal.
Craig McDonald, described as an “award-winning entrepreneur and cybersecurity visionary”, founded MailGuard before taking the company to the Fair Work Commission last month
The FWC dismissed Mr McDonald’s application because it was filed 18 days late, leaving the merits of his claim undecided
A company spokesperson told Our News Outlet that the Macquarie Bank debt had since been “completely discharged” and that the “receivers retired”.
The FWC decision, dated September 10, states that Mr McDonald was appointed chief executive on December 24, 2025.
On June 29, shortly before his dismissal, Mr McDonald challenged his removal and offered to work through a six-month notice period. The following day, he found that his access to MailGuard’s systems had been revoked.
After being locked out, Mr McDonald wrote to the company, maintaining that he remained an employee and asking that important records concerning his employment be preserved.
He was told on July 6 that his employment had been terminated immediately. The letter referred to “a number of alleged acts of misconduct”, according to the FWC ruling.
The allegations, which were not tested and were set out in the commission’s published decision, included “incurring excessive personal expenses on a business credit card” and repudiating his employment contract.
MailGuard further alleged that Mr McDonald had created a “serious risk” to the company’s “reputation and profitability” by telling Macquarie Bank and employees that the business “is over”.
The dismissal letter also accused him of urging the appointed receiver and manager to begin a sale process and put MailGuard into liquidation without the board’s approval.
The MailGuard office building is pictured
It also alleged that Mr McDonald’s wife continued to be engaged by the company without the board being notified and in breach of contract.
Daily Mail does not allege that Mr McDonald’s wife engaged in any wrongdoing.
An ASIC report covering MailGuard’s activities and property records the appointment of a receiver and manager from Ernst & Young by Macquarie Bank on June 11.
The report dated August 11 showed Macquarie Bank had a claim over all MailGuard assets, including $130,000 in company bank accounts, computer equipment, and intellectual property.
Other creditors listed include AMEX, owed $245,210.70; the ATO, owed $478,273.00; and the State Revenue Office Victoria, owed $124,322.70. Additional ‘unknown trade creditors’ are owed $832,126.18.
At the time, employees were owed $861,942.27 in annual leave, superannuation, and long service leave entitlements, according to the report, while MailGuard itself was owed $251,771.
The ASIC report did not name Mr McDonald, and Daily Mail does not suggest he is responsible for any amounts owed to creditors.
A spokesperson for MailGuard said: ‘The company is operating its business as usual’
‘It does not owe wages or salary to its employees. As with any ongoing business, it has continuing commitments to its employees with respect to annual leave, long service leave, and superannuation.’
‘We otherwise do not comment on claims before the Fair Work Commission.’
Craig McDonald was approached for comment.
