The Plods At ANZ decided that when the going got just awful ie the 2nd $100m hole.
That it was all men for themselves..they panicked
Cut and Run and Shot the Woman and Children on the way to the lifeboats.
Here is the Maths.. Pre putting the clients to the Sword
$950m debt vs $1689m in securities
They let Norm Seckold out of the Pool which created
$1050m debt vs $1589 in securities inc $24m indebtors
$514m equity a net degradation of $200m
We have run a series of models slicing the firesale into slices and running a series of discounts ie most liquid to less liquid and price sensitive..we unfortunately see zero return for clients
Whereas a workout with or with official managers involved but sponsored by ANZ with a 15% charge on all clients total shareholding ..would have covered the $200m in client losses and allowed all clients to retire the balance less any outstanding margin debt.
Anyway it was not to be. the PLODS Panicked innitiated the firesale.....we now have to work through the imponderable legal avenues
ANZ learnt from Opes and are allowing Chimeara to work through in dignified silence
