The receivers and managers of Banksia Securities Limited today have made their first payment of 20 cents in the dollar on debenture holders' investments.December 7, 2012 12:55pm
The receivers of failed Kyabram debenture fund Banksia Securities have made their first distribution to debenture holders, representing 20 cents in the dollar on debenture holders’ investments.
They also estimate a total repayment to BSL debenture holders of between 50 and 65 cents in the dollar.
Receiver Tony McGrath said it was very pleasing to make a swift distribution to BSL debenture holders following the appointment of receivers and managers on October 25.
“We hope the first distribution provides some initial relief to investors following the failure of BSL,” Mr McGrath said.
“The loan recovery processes we have put in place aims to ensure further distributions are paid as quickly as possible,” he said.
The receivers’ estimated total returns to debenture holders are included in a report they released to debenture holders today containing information on a range of matters, including BSL and Cherry Fund Limited’s (CFL) (collectively the Companies) historical performance, an analysis of their loan book and events leading to their failure.
“The receivers attribute the failure of the companies to several factors including a general reduction in property values, difficult credit market conditions, inadequate provisioning in the loan books and a mismatch between the timing of debentures due for repayment and the recoverability of borrowers’ loans,” Mr McGrath said.
Mr McGrath said in addition to recovering loans and making repayments to debenture holders, the receivers were now focused on further investigating the reasons for the companies’ failure.
A full copy of the report will be posted at www.mcgrathnicol.com today.
Key points are:
The amount of the distribution is dependent upon the progress achieved with respect to realisation of loan portfolios.
CFL, which owes debenture holders approximately $10 million, is anticipated to make a total repayment of between 55 and 70 cents in the dollar to its debenture holders. At this stage its assets are not in a liquid state and therefore we will not be making an immediate distribution.
The receivers will continue working closely with the trustee to ensure debenture holders remain informed throughout the receivership.
With regard to the debenture holder information sessions scheduled for Kyabram, Shepparton and Ballarat on Friday, December 14, Mr McGrath reminded debenture holders they needed to register their interest in attending the sessions with Link Market Services by calling 1800 722 079.
The information sessions will also be available for viewing on December 15 via a webcast on the McGrathNicol (www.mcgrathnicol.com) and BSL websites.
Board members recall how they helped start Waratah Lodge, a retirement home that has lasted 25 years.
Police are currently at the scene of a double fatal collision involving two cars in at the Cahill Road, Gilmore Street and Woods Road intersection in Yarrawonga.
Tatura Community House held its annual High Tea fundraiser at the facility on Tuesday, with a full-house present to enjoy a sumptuous morning tea, good conversation and relaxing time together.
MORE than 130 camp oven enthusiasts turned up to the Torrumbarry Hotel for its annual camp oven cook off.
Rochester Historical and Pioneer Society hosted an afternoon tea to recognise long-standing members Barrie and Flora Griffin and John and Margaret Harley.
About 7600 residents served by Goulburn Valley Water are affected by a boil-water advisory.
Scone Equine Hospital relaunches local veterinary practice.
A beauty pamper day has raised a whopping $18k to assist local lady Terri Bevan with her ongoing medical costs associated with her brain tumour
A planning scheme amendment to allow the expansion and redevelopment of the IGA supermarket at Heathcote has been approved by the Victorian Planning Minister Richard Wynne.
The second Koonoomoo Pickers and Packers Charity Ball came to town on the weekend, and was bigger and better than ever.
An exciting three-hole playoff saw Virginia Lange take a narrow win in the Deniliquin Ladies Golf Championship last Thursday.
The second annual National Herd Development Victorian Winter Fair was in action at the Bendigo Exhibition Centre last Wednesday and Thursday.
Discover unbelievable local deals from local businesses every week in the Goulburn and Murray Valley area with Leapon.com.au!
Search properties for sale or rent across North Central Victoria and Southern NSW. Visit your local website for local homes....
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.