No good news for St Laurence investors
St Laurence investors have had their massive losses confirmed.
Tuesday, May 28th 2013, 6:52AM
by Susan Edmunds
Receivers Deloitte have now confirmed the final payment to investors, made last week, takes the total payout to 16.7 cents in the dollar during the receivership period.
Investors had received 10c in the dollar before receivership.
It was estimated in 2010 that investors would receive 15c to 22c per dollar invested.
Capital note holders were owed a further $12.267 million and no distribution has been made to them by the receivers.
A distribution of 9c was made to investors in January 2011, a further 3c in September 2011, 2c in March 2012 and 2.7c last week.
The most recent distribution follows the sale of an industrial property, scrap metal and recycled glass in Australia.
Deloitte said in a statement to investors: “Whilst the distribution brings us to the levels the receivers expected we would recover, it will bring little satisfaction to investors who have lost around 75% of the amount they invested in St Laurence since it was placed in moratorium in 2008.”
Deloitte said it had pursued every loan St Laurence held as well as a $20 million guarantee provided by Kevin Podmore and associated companies. “Very little was realised from this.”
There had been three groups of assets owned by St Laurence, a shareholding in the National Property Trust, an investment in Irongate Property, which is now in receivership itself, and a small portfolio of 14 loans, which were all impaired in some way.
The receivers have handed over to the Official Assignee. There is one final potential realisation, totalling $400,000 that is scheduled to occur in the next six months and will be managed by the liquidator.
The liquidator will also assess the prospects of taking litigation against those involved in St Laurence, under the Companies Act.
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