Aerocat4 was your response from deloitte something like this...
Immediately after our appointment we commenced a sale process to realise the value of the assets for benefit of the creditors of the Moreton Resources Group (MRG) and we received a number of proposals as a consequence.
It is not the Administrators role to provide the market with commentary on the value of a company’s business and assets. The value of certain assets you refer to in your email (MRV Metals assets) has not been repeated by any interested party. We have conducted a marketing campaign for the sale of the assets of MRG which assists to form an independent opinion on the value of the assets taking into account the limited time frames and funding we have available.
In our view, the most beneficial offer we received included a Deed of Company Arrangements (DOCAs) which is what we have detailed to MRG’s creditors in our report. Creditors will have the opportunity to vote on the future of this proposal at a meeting of creditors to be held on 15 July 2020. The recommendation made by the Administrators in respect of these DOCAs has been done so in the best interests of all creditors of MRG based on;
- the information available at the time
- the investigations undertaken by the Administrators; and
- the market response to abovementioned sales campaign.
At the meeting of Creditors held on 15 July 2020, creditors will have an opportunity to decide on the future of the company based on the information we have provided and any subsequent additional information that is provided. It is the creditors who will vote and decide whether liquidation is the better alternative outcome for MRG. As we have detailed in our report , the company is insolvent and cannot be returned to the Directors.
The Administrators will not and has not assisted any party in phoenix activity and the reasons for our recommendation are disclosed in our report to creditors.
Section 556 of the Corporations Act (2001) sets out the priority for which any amounts owed by the company get paid and we note that shareholders rank behind employees, secured creditors and unsecured creditors. Those parties will not receive payment in full under the proposal put forward.
The Administrators have continued to deal with a number of potential recoveries that may be available to MRG and have also sought independent advice regarding the ongoing legal disputes that MRG have been pursuing for some time. These actions may also be pursued in a liquidation, providing the costs of pursuing them can be met.