new funding agreement with imf, page-54

This is getting very interesting now...

IMF is weighing in with a class action for damages for shareholders who purchased after 28th February 2008. These actions are usually taken under s 12AD ASIC Act (Cth).

Thankfully for OZLs sake, the High Court in Sons of Gwalia v Margaretic [2007] HCA 1 did not rule on the threshold test for the minimum level of reliance a shareholder places on announcements prior to purchasing their shares. This question can still be decided. With the long alleged period for which any individual shareholder can purchase shares prior to the suspension, the number of claims would be sizeable. Morgan Stanley could be in it for one. However, with the long period for purchase 'on market' and the company being clearly solvent prior to this suspension, I would predict that the High Court would set the threshold for detrimental reliance very high and the potential liability for such claim would be seriously reduced by such a ruling. By the time it gets to the High Court, Kirby J will be off the bench too. But believe me, if IMF open their case in the Federal Court, then this question will be guaranteed to go to the High Court (2 yrs later).

The only real issue this creates at the moment is that it scares the hell out of the long term OXR holders, worries the board into saying it's all too hard and V/A here we come and gives BHP a cheap chance at PH.

Someone is executing a plan here. First ONE bank holding out, then the scare tactics. What's next week?