MFS Octaviar PIF
1.I am a Perth MFS investor. How many others are in WA, which missed out on actually attending the update meetings?
My original request to MFS to set up an investors liaison group was made on 31st January this year.
I was told someone would ring me back.
When I didn’t hear back, I sent a reminder to Guy Hutchings on 4th February.
Needless to say, the offer wasn’t taken up by MFS.
2.Here is the URL to watch the Wellington Capital presentation on plans for the MFS PIF:
http://www.newpif.com.au/investorforumjuly.html
3.I approached Tony D’Aloisio head of ASIC on 1st April asking him to help to facilitate the formation of a small investors’ consultative group to work alongside the responsible entity while the PIF problems were resolved. If the fund had gone into administration, a Creditors Committee of Reference would be set up by members’ vote.
4. If there is about 41c in value in a PIF share by continuing, then if it goes on the NSX, there has to be a total ban on short selling. Market manipulation only becomes apparent when it is too late, after the event, and if there’s 41c to be had by forcing down the price and frightening PIF members into selling out, there’ll be some people trying.
5.
When I first asked Octaviar for the members register as any member is entitled to do by Corporations Law, Octaviar told me Perpetual Nominees, the trustee, wanted $14000. (The cost by law is supposed to be what it costs to download to a CD).
After further discussion and ASIC (Neale Paterson) intervention it came down to $200. Then Wellington took over so I didn’t pursue it.
There have been a number of strange goings on –
A loan from a Scottish bank for $180m which ranked ahead of us as members for repayment.
The $147.5 m in unsecured loans (ie. ca. 20% of the fund) to seven entities in November December according to the AFR. (see AFR 16 April and 25 June).
A Lonsec (ratings agency) thumbs up for the fund sent to us in early November.
The disappearance from the Octaviar website of the PDS (even though Guy Hutchings sent me a hard copy on Feb 16, 2008).
Also the related party transactions (loans to other bodies within the MFS umbrella) were supposed to be on the website.
The NZ MFS Pacific fund went down late last year, and I believe our fund had some money in MFS Pacific.
There were supposed to be two committees with independent members- the Compliance Committee (ie. does the fund operate as stated) and the Related Party Transactions Committee (loans to other Octaviar entities). Perhaps someone knows who was on those.
Also how much did the auditor know as at 30 June 2007?
Maurice Blackburn, the law firm, is taking a class action for some Octaviar shareholders (not PIF fund members) against Octaviar Ltd, so they are looking for money we are also looking for.
For those who want to do a bit of research look at Pt.2G.4 of the Corporations Act, and also at S.252E(2)(b) – any member can get a court order for a meeting of the fund. If you want to look go to:
http://www.austlii.edu.au/au/legis/cth/consol_act/ca2001172/
There’s S.197 re the trustee, S252C re official scheme meetings (S.252E(2)(b) gives any member the right to get a court order for an official meeting of the fund), S. 208 re approval for a related party benefit, S.283A (trustee for debentures which some of PIF activity was), S 209(3) re dishonesty, 601JG ( compliance committee and liability of its members, as well as possible professional indemnity insurance for them), S601JC(1)(c) ( compliance committee report to ASIC), 601 A re removing the responsible entity, 601HG (auditor), 601FD(1)(c), and Pt 9.4B which deals with prosecutions for breach of the Act.
Some people who might have some idea of what went on are Andrew Peacock, Phil Adams, Michael King, Marshall Vann, Stuart Donaldson, Craig White, Guy Hutchings, and Chris Gavras-Moffatt (corporate lawyer Business Legal for Octaviar Ltd.) Octaviar's co. secretary is David Anderson.
6.
Looking at the late 2007 loans made by our MFS PIF, can anyone confirm that these are the companies they were made to?
SPV Pty Ltd registered as a company 17.12.07 ACN 128 946 494. Reg office Adelaide.
OR
SPV Co Pty Ltd ACN 127 289 098 registered 29.8.07 Reg office Pt Macquarie.
Ray Group ACN 057 883 511registered 26.10.92 Reg Office Robina Qld.
Investment Enterprises Pty Ltd ACN 070 041 413 reg’d 26.6.95 Reg office Sth Yarra
Southport Holdings Pty Ltd ACN 009 224 275 reg’d 18.3.87 Reg office West Perth
Young Village Estates ACN 124 564 772 reg’d 22.3.07 Reg office Southport.
Perhaps someone who has full access to ASIC co. info can find out who the directors are.
7.
Interestingly says the AFR, ABN Amro Morgans, UBS and Macquarie Research all gave MFS a thumbs-up for fund managers. Opis Capital also liked them.
8.
According to the AFR on April 16, $100m was lent by the PIF to MFS Living and Leisure, at 14% interest. The PIF put $17m into the water fund. However the PIF owes MFS Living and Leisure $67m.
9.
As at 30 June 2007, the PIF was, according to Property Investment Research, 31% mortgages (if only they’d stuck to what they knew), 22% in managed investment schemes, 21% in asset-backed investments, 13% in fixed interest, and 13% in cash, with about 11,000 investors.
10.
My original request to MFS to set up an investors liaison group was made on 31st January this year.
I was told someone would ring me back.
When I didn’t hear back, I sent a reminder to Guy Hutchings on 4th February.
Needless to say, the offer wasn’t taken up by MFS.
11.
Here is the URL to watch the Wellington Capital presentation on plans for the MFS PIF:
http://www.newpif.com.au/investorforumjuly.html
12. There is an action group for exchange of info at
PIFActionGroup@yahoogroups.com