http://business.watoday.com.au/business/anz-in-chimaera-firing-li...

http://business.watoday.com.au/business/anz-in-chimaera-firing-line-for-100m-suit-20090902-f8gj.html

ANZ in Chimaera firing line for $100m suit
MARK HAWTHORNE AND ERIC JOHNSTON
September 2, 2009

I wont post whole article..........
ending mentions MFS...as follows


"In a sworn affidavit Mr Pattison alleges that the change in Primebroker's financial position was ''caused by ANZ and its agents''.

Mr Pattison's affidavit noted ''ANZ's failure to complete Primebroker's trades'', ''rumours that emanated from ANZ regarding Chimaera's financial position'' and ''ANZ agreeing, in principal, to support Primebroker with a $55 million equity injection 'subject to due diligence' and then refusing on June 30 to proceed with the investment despite the fact that due diligence investigations had been entirely satisfactory''.

In his judgment, Associate Justice Efthim writes: ''The effect of the media statement was catastrophic on the business of Primebroker Securities.''

In his affidavit, Mr Catalano said Primebroker had instructed ANZ to recall MFS stock from borrowers on January 7 last year, so that Primebroker could sell down that holding. Mr Catalano told the court that ANZ did not comply, and on January 16 trading in MFS shares ceased altogether.

In his reasons for decision, Associate Justice Efthim wrote: ''Once that trading half occurred, ANZ was unable to redeliver MFS shares and Primebroker was consequently unable to deal with any MFS shares it held. Mr Catalano alleges that was a breach by ANZ of its obligations."
ends

"ANZ was unable to recall MFS stock Jan 7" yet it certainly ended up with a substantial holding after the HALT.
Was it Primebroker that gave CS a margin loan?
ANZ announced months after the halt to trade that it held MFS via OPES and Chimera...and had not previously announced being a substantial SH.
Unfortunately I dont understand enough about bankers or brokers but the margin loans, perhaps lent out shares?,the thought of short selling with borrowed shares and trades unable to be completed?... late anns to ASX ...makes me wonder who owned/owed what at the time of MFS demise?

Does anyone better understand the trading mentioned in this article?
MFS fall and halt must have caused big headaches,imo.