Over the last 6 months I have received some rather interesting information, and the more I have dug, the more interesting it has become.
I am wondering where this information was when the class action was being conducted?
1) I have written confirmation from the Liquidator in regard to the 2008 Renewable Fibre Project "The Company's records indicate that the Renewable Fibre Project did not proceed"
2) I have written confirmation from the Liquidator in regard to the 2008 Renewable Fibre Project "They cannot locate the Land and Management Agreements, if they exist"*
3) I have written response from the Legal Dept of Bendigo Bank. "They would not have a copy of the Land and Management Agreements as they were not a party to them"*
4) The first circular to investors from McGrath Nicol, backs up this notion of the scheme did not commence as "The company is unfunded and no funds available to plant trees" Dated Circa Jan 2010.
* The Land and Management Agreements were required to commence the project and more importantly, was required to be fully completed and executed before any investor funds were to be transferred out of the Trust Accounts, as per PDS terms of reference.
If this could /is to be proven correct, every single dollar invested in the 2008 Renewable Fibre Project (via loan or direct), may have been transferred from Trust Accounts in breach of the PDS outline. For those that had loans, Bendigo Bank by rights should have been able to reclaim those funds from the Great Southern Finance Trust accounts (as scheme hadn't commenced), but as we know and they knew, those funds were already spent elsewhere.
The Land and Management Agreements are also referred to in the Loan Application Forms and the Loan documentation of Great Southern (underwritten by Bendigo Bank)
In fact: Item 5 of the Loan Schedule actually states:
"DATE FEES PAYABLE TO GSMAL AND THE DATE OF ADVANCE OF LOAN
In the case of the Renewable Fibre Project: The Date of the Renewable Fibre LMA (Land and Management Agreement)
If the LMA does not exist, technically there is no set date that for the ADVANCEMENT of the LOAN.
______________________________________________________________________________________
If you look at the time line of events, using my case as an example.
Feb 2009 - Agreement reached between Great Southern Group and Bendigo Bank to take back ownership and management of all loans (in writing and stated by Bendigo Bank).
14th April 2009 - Investment Certificates issued for 2008 Renewable Fibre Project (Which conflicts with Liquidators notion of did not proceed)
30th April 2009 - All Loans transferred back to Bendigo Bank
19th May 2009 - Great Southern into Administration
21st May 2009 - Bendigo Bank send letters to all investors that have borrowings stating loans valid and enforceable.
The circular from McGrath Nicol as mentioned earlier (Jan 2010) also went onto mention that Great Southern Group produced Cash Flow Projections that showed a $8Mil shortfall in funding for the next 6 months trading and had also stated "no funds available to plant trees".
The figures were outsourced for verification (Underlying assumptions) and that report from the outsourced organisation "was withheld from investors"
I have been tying to ascertain the actual date that Great Southern commissioned the outsource and the date of reply. This information at present is being withheld from myself.
These 2 dates will give a definitive time line as to the exact point Great Southern perceived themselves insolvent and the confirmation of such)
Although I cannot obtain these dates as yet, I suspect it will be similar to or prior to February 2009. The only way that I have been told that I can obtain those dates is to either have the courts order this information or have a government body request this information (IE ASIC).
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