Class Action Discussion, page-4

A Legal Firm would been needed (preferably of course one that specialises in class actions). There are some issues arising from the initial WPG Admins Report which need to be considered, especially that the Report does not consider that Directors have breached their obligations under the Act in relation to good faith, care and diligence, use of information or use of position.

I posted on this matter around April 2019 as follows in the 'italics' para below. Please note that DOCA 1 did not get approved by Creditors as was recommended. Wilson International Capital Ltd proposed DOCA 2 and this was executed on 19 July 2019. If the proposal is implemented existing shareholdings will be hugely diluted. I recommend WPG shareholders read DOCA 2 and do the maths as this relates to them !

Hi fellow shareholders : the Report to Creditors was issued late Friday (26 Apr) & there are 123 pages. Page 54 para 8.5 ‘Conclusion’ summarises the ‘bottom line’ and recommends Creditors vote for a proposed Deed of Company Arrangement (DOCA 1) from Robert Duffin in respect of WPG Resources Ltd & Tunkilla, and Liquidation for the other 5 WPG entities. The Report discusses alternatives but these are considered inferior to DOCA 1.I have been in favour of looking into a class action against the those responsible for WPG’s demise. However, the Report does not consider that Directors have breached their obligations under the Act in relation to good faith, care and diligence, use of information or use of position. There maybe a case for Liquidators against Directors in respect of insolvent trading but para 8.5 explains the complexities of such a claim and the defences available to Directors and the costs which might outweigh any benefits even if successful.Last time I was‘stung’ like this was when Australian Zircon Ltd failed & the ‘rescue’ resulted in my SMSF shares and capital being reduced proportionally from 278,562 to 1,325 - I thought it was outrageous. I hope we're not headed for this kind of scenario! However, you would think that Bob Duffin wouldn’t risk loaning his money as set out in DOCA 1 unless there were good prospects for success.
Not professional advice, please do your own DD