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Note 20 - Provisions
 12 Months Ended
Jun. 30, 2020
Statement Line Items [Line Items]  
Disclosure of provisions [text block]
20.
         Provisions
 
   
As at June 30
    
As at March 31
  
(US dollars in thousands)
  
20
20
    
2019
    
2019
    
201
8
  
Current provisions
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Employee entitlements
    
1,561
      
1,510
      
1,459
      
1,474
  
Litigation
    
1,104
      
-
      
-
      
-
  
Warranty
    
232
      
-
      
-
      
-
  
Employee terminations
    
-
      
112
      
157
      
616
  
Onerous contracts
    
-
      
96
      
94
      
380
  
Total
  
 
2,897
      
1,718
      
1,710
      
2,470
  
 
Non-current provisions
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Employee entitlements
    
169
      
148
      
227
      
288
  
Onerous contracts
    
-
      
1,952
      
1,995
      
-
  
Total
  
 
169
      
2,100
      
2,222
      
288
  
 
Total
  
 
3,066
      
3,818
      
3,932
      
2,758
  
 
Employee entitlements include long term leave and vacation provisions.
 
The employee terminations provision represents severance and contract termination costs associated with employees and contractors who departed the business as a result of the restructuring more fully disclosed in Note
7.
 
The onerous contracts provision recognized the forecast losses associated with contracts to purchase Solar Renewable Energy Certificates from the NC-
31
and NC-
47
projects until
2027.
The expected losses were discounted at the Company's borrowing rate on long-term debt of
8.5%.
The provision formed part of the disposed net assets of VivoRex LLC, sold on
July 02, 2019,
as more fully disclosed in Note
5.
 
On
February 26, 2018,
the Company's former Chief Executive Officer, Phillip Comberg, filed a legal claim alleging the Company committed a repudiatory breach of his service agreement in connection with the termination of his employment on
October 4, 2017.
Mr. Comberg is claiming damages of
£615,600
related to the notice period in his service agreement,
£540,000
related to shares in the Company he alleges were due to him, and other unquantified amounts related to bonuses and past services fees alleged to be due. On
April
9,2018,
the Company filed a defense and counterclaim, denying that a repudiatory breach was committed by the Company and denying the other claims asserted by Mr. Comberg, claiming that Mr. Comberg was terminated for cause.
 
On
November 26, 2018,
the Company agreed to a settlement of the counterclaims against Mr. Comberg for an undisclosed amount.
No
settlement has been reached with respect to Mr. Comberg's claim. The Company continues to strongly deny and defend the claim.
 
After aborted attempts at settlement, the matter was heard in the UK High Court in the
first
two
weeks of
March 2020.
At the time of writing, the Company is still awaiting the verdict from the trial.
 
In the year ended
June 30, 2020,
the Company has incurred
$0.9
million of legal fees in relation to this matter, in addition to amounts incurred in prior periods. The Company has also made a provision at
June 30, 2020,
for the expected outcome of the trial, of
$1.1
million, including allocation of costs, based on legal counsel advice about the Company's chances of success for the different elements of the claims.
 
(US dollars in thousands)
  
Employee
Entitlements
    
Employee
Terminations
    
Onerous
Contracts
    
Litigation
    
Warranty
    
Total
  
At March
31,
2018
  
 
1,762
    
 
616
    
 
380
    
 
-
    
 
-
    
 
2,758
  
Foreign exchange
    
(140
)
    
-
      
-
      
-
      
-
      
(140
)
Charged/(credited) to profit or loss:
                                                
Additional provisions
    
510
      
243
      
1,804
      
-
      
-
      
2,557
  
Reverse unused provisions
    
(26
)
    
(87
)
    
-
      
-
      
-
      
(113
)
Provisions utilized
    
(420
)
    
(614
)
    
(96
)
    
-
      
-
      
(1,130
)
At March
31,
2019
  
 
1,686
    
 
158
    
 
2,088
    
 
-
    
 
-
    
 
3,932
  
Foreign exchange
    
(18
)
    
-
      
-
      
-
      
-
      
(18
)
Charged/(credited) to profit or loss:
                                                
Additional provisions
    
146
      
-
      
-
      
-
      
-
      
146
  
Reverse unused provisions
    
(41
)
    
-
      
-
      
-
      
-
      
(41
)
Unwinding of discount
    
-
      
-
      
42
      
-
      
-
      
42
  
Provisions utilized
    
(116
)
    
(45
)
    
(82
)
    
-
      
-
      
(243
)
At
June 30,
2019
  
 
1,657
    
 
113
    
 
2,048
    
 
-
    
 
-
    
 
3,818
  
Foreign exchange
    
(41
)
    
-
      
-
      
-
      
-
      
(41
)
Charged/(credited) to profit or loss:
                                                
Additional provisions
    
1,659
      
176
      
-
      
1,104
      
232
      
3,171
  
Reverse unused provisions
    
(72
)
    
(28
)
    
-
      
-
      
-
      
(100
)
Disposals
    
-
      
-
      
(2,048
)
    
-
      
-
      
(2,048
)
Provisions utilized
    
(1,473
)
    
(261
)
    
-
      
-
      
-
      
(1,734
)
At
June 30,
20
20
  
 
1,730
    
 
-
    
 
-
    
 
1,104
    
 
232
    
 
3,066