Sorry to break the silence, but the redoubtable Vesna's been digging again:
http://www.copyright link/business/...ounder-frank-wilson-over-loan-20170810-gxt8m4
Former
Quintis managing director Frank Wilson has not made interest payments on a company-financed loan since December 2016, Quintis has claimed in court documents
linked to an $11 million debt dispute.
Mr Wilson has vowed to defend the action brought by the company he founded. A spokesman for Mr Wilson said on Thursday that a defence and counter claim would be lodged in due course, and in light of the proceedings he would make no further comment.
The initial agreement, which dates back to June 2014, was for a principal sum of $13.3 million comprised of two loans financing Mr Wilson's purchase of sandalwood plantations. He is
one of the company's largest individual growers as well as its largest shareholder.
According to a filing in the Supreme Court of Western Australia submitted by the Quintis-owned Arwon Finance on July 24, the company has not received any payment this year. The monthly instalments linked to the two loans are $136,495 and $79,275, implying the borrower was $1.3 million in arrears up to June 1, it is shown.
Mr Wilson resigned as Quintis' managing director on March 27.
The company says it sought repayment in writing by June 26, after which time the borrower would be deemed to be in default. The principal and interest became "immediately due and payable" on July 18 and Quintis says it has not seen any money since. Arwon Finance is seeking $11.1 million plus interest and costs, according to its claim.
It has a security over Mr Wilson's trees, which he has previously said are valued "far in excess of the loan amount".
The loan was offered at 7.5 per cent interest, but a higher rate of 10.5 per cent applied to late payments. Of the two loans, the principal and interest outstanding is split $6.6 million and $4.5 million. The agreement was varied in February 2016.
The claim also shows that principal-and-interest repayments were to start in November 2015 for the first loan amount and November 2016 for the secondary loan amount, citing the original agreement and its subsequent variation.
Another individual grower, Travis Royce Smith, is being pursued for $953,165 plus interest and costs, according to a another claim.
Separately, Quintis told the ASX on Thursday that it had secured a further extension on a waiver provided by bondholders until August 16; the previous waiver expired August 9. The waiver conditionally excuses the company from its requirement to publish March quarter financial statements.
At this rate looks like a race between Frank and QIN to see who can go bust first. Anyone heard of Travis Royce Smith?
