ASIC inquiry follows Banksia collapseGEOFF ADAMS November 6, 2012 4:02am
The Banksia Securities collapse and the subsequent failure of another associated company has sent shockwaves through the financial services industry.
The Australian Securities Investment Commission has launched an inquiry, the Rural Finance Corporation is offering information on a hotline and organisations including Campaspe Shire Council have offered support for investors.
Banksia Securities was placed in receivership on Thursday, October 25, after the company sought help fearing it was insolvent or about to become insolvent, and more than $600
The receiver, McGrathNichol, has suggested investors could receive a ‘‘meaningful’’ return on their investments, but they say it is too early to say what that figure will be.
Rural Finance Corporation has offered to take calls from regional people affected by the Banksia collapse on a hotline. Corporation chief executive Rob Goudswaard said last Friday they had received a modest number of calls.
‘‘About 90 per cent of the calls are making sure they understand the facts and clarifying the position of debenture holders,’’ Mr Goudswaard said.
One call required a reference to a counselling service.
Mr Goudswaard said investors may have become more comfortable with the Banksia companies because they developed in the region and had been well known for some time.
However, he said a common rule for investing was that higher returns were usually accompanied by higher risk.
‘‘Some people will go for higher returns and may not appreciate the risks.’’
Banksia was founded in Kyabram and over the years has attracted large investments from the rural and farming community in the region.
In the last financial year, the annual report records Banksia had a total of $691
Auditors signed off on the accounts on September 27.
Banksia office holders were: chairman Peter W. Keating; managing director Patrick J. Godfrey; directors Nicholas L. Carr, Neil S. Mathison and G. Grenville Skewes.
Mr Godfrey is no longer managing director but remains a director.
Geoff Adams holds a small investment account with Banksia Securities.
KEVIN PROBERT DECIDES TO LEAVE AS THE CLUB LOOKS TO BOUNCE BACK WITH A WIN OVER WARRANDYTE
The Yarrawonga Pigeons scored a 20 point victory over the Myrtleford Saints at the JC Lowe Oval in Yarrawonga on Saturday.
The Aboriginal and wider community is mourning the death of revered Bangerang Aboriginal elder, Uncle John ‘‘Sandy’’ Atkinson.
Echuca-Moama Cycling Club’s All Rivers Enduro mountain bike race is proof that if you build an event, the public and competitors will come.
FOUR Rochester residents did more than their bit for women’s cancers mid last month when they trekked 60km around Melbourne to raise funds for the Peter MacCallum Cancer Centre.
Tongala Football Club lost to Rumbalara in the Murray Netball League on Saturday by 14 points.
Four generations of Comi girls this Mother's Day
Berrigan Shire councillor Daryll Morris says he has been sickened by some of the vitriol and personal attacks to surface since the council’s proposal to redevelop Finley’s Memorial Hall and School of Arts site was revealed in October last year.
DESPITE criticism from within the community over a perceived lack of use, the O’Keefe Rail Trail has enjoyed good traffic over the past couple of weeks, with more to come.
The usual yellow and black colours at Katamatite Recreation Reserve will be replaced this Mother’s Day as pink will be the colour of choice.
Jake has babies to thank for surviving cancer.
Fonterra suppliers are reeling after the announcement of a big cut in the milk price from $5.60/kg to $5 for the full current year.
The News magazines are online - read high quality magazines in your time. Check in regularly for the latest editions.
Riverine Herald's well regarded locally produced magazines. They're now online, so you can read them whenever and wherever you like.
Search for published and unpublished photos from McPherson Media Group newspapers and magazines. All our photos are available to purchase.
Place an advertisement in any one of McPherson Media Group's local newspapers.