Hi Enumerate,
With all due respect, I don't think the banks were completely to blame for this one. I love to give the banks a kick from time to time too, so don't think I am trying to stick up for them either. I believe mismanagement sent her down.
It appears that it is like the good old fashioned money shuffle, BNB has taken on a heap of debt, then piled up the assetts into the safe haven of the spouse (BBIPL, BBP), then said it was broke and could no longer pay its debts. How can management and the board say that they gave the money to another entity and would rather go into administration than get it back, sounds corrupt to me. Who manages BBIPL? Is there a board?
The banks would have had more knowledge of what was happening than the ordinary shareholder or noteholder and were not about to throw more money down the black hole to keep her afloat, but it does not appear that they called in the administrator, that was left to the board. If it was only the fact that they could not restructure the noteholders for 0.001c in the dollar, then she was probably well and truly insolvent before the vote was taken. Mop.
I am as dissapointed as anyone, I lost a fair amount of dough on this dog, though I hope that the administrator or ASIC can check out for any corruption and break some heads.
BNB
babcock & brown limited
