mmg.com.au

Banksia customers will receive an initial payment from the receivers before Christmas, according to the receivers.

Subject to a final calculation process, the first payment is expected to be in the range of 10 to 15 cents in the dollar.

How much more Banksia customers will get is still unclear and a series of information sessions has been announced for people worried about their frozen deposits.

Receivers and managers of Banksia Securities, McGrathNicol, said sessions would be held for debenture holders in Shepparton on December 14.

McGrathNicol will host four debenture holder information sessions: two in Shepparton from 10am to noon and 1pm to 3pm at Shepparton Sports Stadium, and two in Ballarat.

McGrathNicol said the initial payment was possible because of substantial funds Banksia Securities had invested in liquid term deposits with major banks.

Debenture holders will receive a report on Banksia Securities activities and major assets as well as information on the timing and quantum of future payments before the information sessions.

Debenture holders should contact the debenture holder hotline on 1800722079 to register for the information sessions.

The receivers also announced Banksia Securities branches in Shepparton, Kyabram, Tatura and Echuca will close and 47 staff will lose their jobs.

The redundancies include the branches’ 28 staff members and 19 staff at the group’s Kyabram administration centre and its head office in Melbourne.

The staff were provided with notice of termination of their employment last week and the branches closed last Friday.

McGrathNicol said the remaining 37 staff at Kyabram and Melbourne were focused on debenture holder returns, including loan recovery processes and dividend payment requirements.

Banksia victims left without income because of the company’s collapse would be assessed differently by Centrelink.

Federal Member for Murray Sharman Stone said changes to assessment criteria had been made to assist people requiring financial help.