". . . the ANZ bank had a big responsibility to Opes Prime their borrower and to the security holders that they were holding shares for. They have not acted in a professional manner with due care and responsibly . . ."
I think so too! ANZ could be at fault here due to being in violation of their own ML agreement.
My understanding is that Opes Prime legally owned the shares and had an ML facility with ANZ.
Here are the ANZ ML products and the approved share list for ML potfolios. http://www.anz.com/aus/Investing/Investing-Your-Money/Margin-Lending.asp http://www.anz.com/aus/investing/Investing-Your-Money/Margin-Lending/Forms-And-Tools.asp#asl
The approved share list clearly indicates the LVR and if the stock is restricted. "Stocks donated with a 'Y' are classified 'restricted' and taken together cannot comprise more than 50% of a diversified portfolio (any excess will receive the standard LVR)".
As Opes Prime's portfolio was almost entirely comprised of small caps and startups, most shares have 'Restricted' status. They also have a 0% standard LVR.
This means ANZ was in fact knowingly lending money in violation to their own ML policy and therefore should be considered liable for any loss due to this.
If you are affected by the Opes Prime liquidation please pass this on to your class action solicitor.
