timbercorp investors take legal action

http://www.abc.net.au/news/stories/2009/07/24/2635733.htm


Timbercorp investors take legal action

Posted Fri Jul 24, 2009 3:27pm AEST
Updated Fri Jul 24, 2009 3:31pm AEST


Timbercorp investors who lost more than $240 million when the agribusiness collapsed have launched a class action.

Macpherson and Kelley Solicitors is representing 1,600 people across Australia who lost money when the company went under.

Lawyer Ron Willemsen says his clients want the court to declare their investment loans invalid because Timbercorp finance failed to disclose to investors that the company was on the verge of collapse.

Mr Willemsen says he is also preparing a class action on behalf of 1,000 investors who lost money in the failed Great Southern Investments scheme.

"Like we have done with Timbercorp, we will seek a declaration from the court that the particular loans are to be set aside as invalid therefore people being excused from having to make any further payment on the basis of non-disclosure that the Great Southern companies were on the verge of collapse," he said.