Great Southern Limited (GTP.AX) Receivership Update
I attended the first creditors meeting last week. There was a lot of media and emotion on show.
Most things are a lot clearer to me now and I clearly did not understand what was going on prior to the meeting.
Here is the presentation from GSL first creditors meeting, it is certainly worth looking through. The Ferrier Hodgson site for GSL is a good place to keep an eye on. They will be doing weekly(ish) updates. Ferrier Hodgson are the administrators appointed by GSL. They are playing second fiddle to the receivers, McGrathNicol, who were appointed by the secured creditors.
My understanding is the receivers are solely interested in selling enough of the secured assets to repay the secured creditors debt. See ASIC fact sheet 54 for more information. So McGrathNicol will be looking after the banks interest. FH will be keeping an eye on them, whatever that means.
Once the McGN have sold off whatever they can and taken their fees FH get to enact whatever plan they come up with. See ASIC sheet 74 for more details.
TREES are at the bottom of creditors totem pole, though still ahead of shareholders.
Committee of creditors was formed for the various companies. The tangled web of GSL comprised 35 companies. TREES holders are represented by Australian Executor Trustees and do not have to lodge separate proof of debt. AET are on the GSL committee of creditors, representing TREES holders. Woodlot holders are represented by various holders on the GSMAL committee.
The Trustee for the TREES Australian Executor Trustees has a Word document you can download to convert your TREES to debt. You have 60 days from the trigger point to do that. You don’t convert to shares, just to debt. The Word document is easy to fill in. Contact the trustee if you have any questions, I found them to be nice and helpful.
I have started a spreadsheet to estimate the recovery, it is still very rough and I have lots of questions, but here it is.
A representative from Bendigo and Adelaide bank was present. I don’t think those idiots realise what they have stepped into the middle of. I encourage anyone with an account with those banks to close it and tell them greed does not pay. One of the first tasks of McGN is to ascertain when GDL became insolvent. If that date was prior to selling debt to Bendigo Adelaide then the transaction can be undone. Same goes for project transform and the “theft” of the cattle.
Fingers and toes crossed for TREES holders and all others in this GSL quagmire. – Dean
Related posts:
I am thoroughly confused as to what to do. I do not understand shares and avoid them if possible. I have been approached by a John Heron to participate in a joint action against GSL but have to pa $665 to Dennis & Co and if they are successful in getting anything back will have further fees to pay. If they don’t then no more fees. I have 19 Lots from 02 – 05. Of course that was my retirement as I am unemployed!!!! I couldn’t access the link to Australian Executor Trustees and don’t understand the concept to register the debt with them. Could you please explain in laymens terms.
Thanking you for your time.
Bewildered.
Hi Sue
I am very sorry to hear about your financial predicament. I am not a financial advisor and can not give direct investment advice. I’m just a guy sitting at home.
The following is not a reply to you, but general thoughts if I had tree lots.
1. The Australian Executor Trustees site is for owners of TREES2 and TREES3, they are convertible notes (debt) that was sold by GTP and traded on the ASX. They are completely different from wood lots / your tree plantations. So don’t worry about them.
2. If most of the my retirement was tied up in wood lots I would seek professional advice. However, I am not sure I would pay Dennis and Co or anyone else money. I know it is too late now, but as a general rule your eggs should never be in one basket.
3. http://www.hotcopper.com.au/and http://www.aussiestockforums.com/ have active forums on GTP. You may get some advice there.
Feel free to ask my any specific questions, but keep in mind I am not qualified and my advice is only worth what you pay for it. In fact it may be worse than worthless.
Good luck
Dean
Hey this is abit confusing.
I thought that when I purchased wood lots then the $3300 each included everything for ten years including rent of the land, watering, trimming etc. the only thing left was the insurance and cost of harvest that was to be subtracted from any profit.
So why don’t we still own each wood lot till it matures?
Can any body point me in the right direction to try and get something back from the wood lots.
mark s
Mark
I am not a woodlot investor so not sure where things are up to with those. There is a very active discussion on GTP at Aussie Stock Forums. http://www.aussiestockforums.com/forums/showthread.php?t=1284&page=97&highlight=GTP
My basic understanding is that if you bought early then you may get something back from the woodlots, but if you bought in recent years then forgetaboutit.
I recommend going back to your financial advisor and asking for the 10% commission they received for sucking you into the Ponzi scheme to start with.
If any individual have bought trees 2(GTPGA) or trees 3(GTPGB),when can he/she write off all or part(what %?) of the purchased price as doubtful credits(debts)?
I don’t want to sell trees 2 and trees 3 at worthless price.
Please,help me!
Jae
The resolution will be this tax year 2009-10. You’ll either get something back and have a capital/debt loss or get nothing and write it off. I’ll post about the TREES saga as it unfolds.
Have you filled in the Holder redemption notice? It’s available here http://www.aetlimited.com.au/CorporateTrustServices/Announcements/
We, TREES Holders, rank after secured and at the bottom of unsecured, but ahead of shareholders, who will get nothing. TREES holders will be lucky to get something.
Thanks,Dean!
Please refer to below site for writing off or providing provisions for Bad and Doubtful Debts(Credits).
http://www.creditprof.com.au/downloads/Bad&Doubtful.pdf
Leave your response!
SUBSCRIBE by RSS
or Subscribe by EmailTags
Categories
Archives
Free Spreadsheets
Speed Fusion : Twitter
Posting tweet...
Powered by Twitter Tools
Blog of the Day
Blogroll
Aus/NZ Blogroll
Recent Posts
Most Commented
Quotes