insolvency guru under fire on advice, page-5

You have got me going now too Plumbob with all this research
Mrs Jadel states she will bash me over the head with a heavy frying pan if I keep at it.



I think the following article adequately demonstrates Korda menthe negligence in the matter, and that PIF investors do in fact have a case .( paragraph below from article)

Korda Mentha have publically stated they reviewed the transaction and found it appropriate.

This should mean that they have forensically examined the transaction ,since they made themselves out to be super gun auditors.

The statute of limitations lasts for seven years If my memory serves me correctly:

SENIOR MFS executive was asked to sign backdated documents that purported to approve a controversial $130 million loan, the NSW Supreme Court heard yesterday.
It was also claimed that documents were backdated relating to MFS's $96m dividend payment in 2007.
Yesterday former chief operating officer David Kennedy continued giving evidence in the NSW Supreme Court, where lawyers for liquidator Bentleys Corporate Recovery are trying to uncover when the Gold Coast financial company became insolvent. MFS, later named Octaviar, owes creditors $2.5 billion.
The court heard yesterday that a $250m loan from Fortress Credit was due at the end of November 2007 and a series of transactions took place in the last few days of November. On the 27th, the MFS Premium Income Fund (PIF) borrowed $150m from Royal Bank of Scotland. Three days later, PIF transferred $130m to the MFS Administration account, which in turn made part payment of $103m to Fortress.
Mr Kennedy, who sat on the investment advisory committee for PIF, said he knew nothing about the RBOS loan at the time.
Mr Kennedy said it wasn't until the following February that he found out about the $130m transfer, when the "right-hand person" of chief executive Craig White asked him to sign some backdated minutes purporting to approve the $130m transfer.
"I wouldn't sign them," Mr Kennedy said yesterday. "They were backdated documents and I didn't recall having that meeting".
Mr Kennedy said that was the first time he had reason to doubt the integrity of anybody at MFS.
"I was very unhappy with the transaction itself," Mr Kennedy said. "It smelt to me."
Mr Kennedy said Mr White later told him Korda Mentha had reviewed the transaction and was satisfied it was appropriate.
The court also heard that Mr Kennedy was planning to sue the board after ploughing close to $750,000 into MFS shares just days before the company announced it needed to raise $550m. Mr Kennedy said the board was negligent in opening a trading window for staff in the week it announced the capital raising, as the board either knew it needed to raise $550m, in which case it was inappropriate for staff to be trading, or the board didn't know "they had a $550m hole", in which case it was negligent.
Mr Kennedy said he didn't sue because he later waived his legal rights against the company as part of his redundancy package.
The hearing continues.