ANZ, Opes Prime, Merrill Lynch suedArticle from: Font size: Decrease Increase Email article: Email Print article: Print Submit comment: Submit comment May 30, 2008 05:15pm
A CLASS action against Opes Prime, the ANZ Bank and global banking giant Merrill Lynch has been filed today in the Melbourne registry of the Federal Court.
The class action, alleging negligence and breaches of the Corporations Act, seeks damages and consequential damages of more than $100 million on behalf of more than 50 investors in Opes Prime.
High profile Sydney lawyer Chris Murphy was one of Opes' largest clients and is the subject of actions by the firm's receivers Deloitte.
"I'm not a party to the claim but I'm party to a claim with someone else,'' Mr Murphy said. Mr Murphy, who was at his home recovering from an illness when contacted by The Daily Telegraph, traded tens of millions of dollars worth of shares before Opes Prime collapsed in March with debts of $721.6 million.
He is facing a claim from Opes creditors of around $126 million but is also fighting the4 ANZ for $700,000 shares owbned by his wife's superannuation fund which were seized by ANZ after the collapse of Opes Prime in March this year with debts of $721.6 million.
The lawsuit filed yesterday will allege that ANZ and Merrill Lynch broke the law by failing to disclose their substantial shareholdings in dozens of companies in the wake of the collapse.
Opes Prime loaned money to clients in exchange for shares, which Opes then used as collateral to borrow from banks like ANZ.
When the company went under, ANZ and Merrill seized control of billions of dollars worth of shares.
The lead claimant is Imobilari Pty Ltd, the investment company of Sydney businessman Michael Randall who lost several hundred thousand dollars as a result of the Opes Prime collapse.
