mmg.com.au

Three Kyabram community organisations are offering their support to the class action lodged against Banksia Securities and associated parties.

Last Friday Parkland Golf Club president Vin Sleeth, Warramunda Village board president Alison Hunter and Kyabram Fauna Park committee of management’s treasurer Maurie Gorman met members of the legal team who are handling the class action case led by lead plaintiff Laurie Bolitho.

Barrister Norman O’Bryan and solicitor Mark Elliott, together with Shepparton-based solicitor Rob Crow visited Kyabram to discuss the class action process.

Mr Sleeth said the Parkland Golf Club committee met to discuss the issue about 10 days ago.

‘‘We decided to back the lead plaintiff’s action for the club’s sake and because a lot of our members were supporters of Banksia,’’ Mr Sleeth said.

Ms Hunter said Warramunda Village board members were contacted after Friday’s meeting and were in support of the class action.

‘‘We have to be involved as our money is community money, it’s a community-owned home, and we have a responsibility to manage that money and we have to gain back as much as we can,’’ Ms Hunter said.

On Monday, Melbourne-based solicitor Mark Elliott said the class action papers, lodged with the Supreme Court of Victoria on December 24, would be served within the next few days.

Mr Elliott said it was a representation action being brought on behalf of all debenture holders and Banksia Securities and Cherry Fund.

‘‘This is an opt-out system, so you are in unless you decide to do your own thing,’’ he said.

‘‘It basically means we will say, via Laurence Bolitho as lead plaintiff, we will run it on behalf of all plaintiffs and no-one will have any liability for costs or adverse orders other than Mr Bolitho, but if you want to run your own case you need to opt out of this case. We expect this will be the class action on behalf of all debenture holders.

‘‘It’s no win, no pay for us as the lawyers.’’

Mr Elliott said suitable arrangements have been made to protect Mr Bolitho’s liability.

When asked about receiver Tony McGrath’s comments regarding the need for a cost analysis to determine whether legal action would be taken by the receiver, Mr Elliott said it was prudent for someone in that role to consider all actions carefully.

He said the legal team was looking for community support and getting the support of community organisations was important to help keep people informed of what was happening and to get a show of solidarity.

Mr Elliott said a letter would be sent to all debenture holders, probably in early February, to advise what is being done and to find out which form of communication suits each best.

A website is being built as a one-stop shop for information and to help people keep up to date with progress of the class action.