court to rule on case against anz on

Court to rule on Melewar cased against ANZ on Monday
18-April-08 by AAP
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Malaysian steel producer Melewar Steel Ventures Ltd and the head of Conquest Mining Ltd will find out on Monday morning whether they will recover shares from ANZ Banking Group Ltd.

NSW Supreme Court Chief Justice James Spiegelman said he and other judges would hand down their decision on Monday, while extending an injunction to 1200 AEST on April 21 which prevents ANZ from selling shares it seized from stockbroker Opes Prime.

The order restrains ANZ from selling 8.5 million shares in iron ore producer Gindalbie Metals Ltd, which Melewar claim they own, and shares of Perth-based Conquest Mining that managing director John Terpu says are his.

Melewar owned 32 million shares in Perth-based Gindalbie, which were held by Opes Prime's financiers - ANZ, Merrill Lynch and Dresdner - with ANZ holding 8.5 million of the shares.

Mr Terpu says he and his superannuation fund have 15.2 million shares in Conquest, which were put up as collateral for a margin loan.

Opes Prime collapsed last month and was placed into receivership and administration after cash and stock movement irregularities were uncovered in a small number of accounts.

The secured creditors of Opes subsequently began selling the shares that clients had placed with the failed stockbroker, in a bid to recoup more than $1 billion in loans.

The move has sparked various legal actions by Opes clients who claim the shares still belong to them.