Ann: Quarterly Activities Report, page-47

You would need to look at the loan documentation but if it is a liability of the company then the company's unsecured assets support the loan regardless of whether there is specific security attached to an asset - incoming directors would need to be very careful of their obligations if they decided to sell/transfer assets and left unpaid loans in the company. The lenders could also have lodged a PPSR charge which could restrict the sale of assets in any event - if I was in their position without specific charges over assets I would.

The other issue more specific are the terms of any loans to NME and whether there are conditions in the documentation that NME is in breech of the loan conditions or if they are at call which means they could called up for repayment at any time.

Hopefully the BOD of MCT have assessed as best they can that aspect of risk with the NME takeover and have some contingency in the event the loans were called up.