Wellington Capital PIF/Octaviar (MFS) PIF

[marcom]

Re: Wellington Premium Income Fund

I've done some digging around online to try and identify the properties. But I'm concerned that too much detail might weaken PIF's position in selling them. What's the concensus?

Better to know what we are facing on property realisations as it will have a big bearing on timing and amounts of distributions in the future. I have put up some details of the Port Macquarie portfolio earlier on HC - absolute dog of a project (and still not finished!) with no chance of realising the $28M loan after 2 sales campaigns!

MARCOM

 

[Duped]

Re: Wellington Premium Income Fund

Not much but here goes:

Forest Resort (Novotel); Creswick, VIC
$41.3M
Status: ?

Latitude; Mackay QLD
$9.2M
Status: Listed (Colliers) EOI closed April 09
http://www.colliers.com.au/site/page.cfm?u=145
Property ID 5510096

Kooralbyn Hotel Resort; SE QLD Hinterland
$41.4M
Status: Listed (Jones Lang Lasalle) Auction 7 May 09
http://www.latestproperty.com.au/ma...ue/archived/1/section/For Sale/page/5/id/107/

Ocean View City Beach; Wollongong, NSW
$58M
Status: Listed (Jones Lang Lasalle)
http://www.joneslanglasalle.com.au/Australia/en-AU/Pages/Properties.aspx
Property ID 5517747

Aston Hill Apartments; 20 Mort St Port Macquarie; NSW
$22.8M
Status: Listed (Ray White) by EOI
http://www.realcommercial.com.au/commercial-real-estate/5526142


Guesses
Duns Creek, NSW
$7.1M
?Mahogany Ridge Resort Development (Subdivided into 24 Lots)
Status: Lots listed (CBRE) EOI by June 08
http://www.realcommercial.com.au/commercial-real-estate/2527680

Yeppoon, QLD
$9.9M
? Tabone & McBean St (31.4 Ha Residential Development)
Status: Listed (Ray White) Private Treaty
http://www.raywhitespecialprojects.com.au/mcbean-street-yeppoon.html

 

[simgrund]

Re: Wellington Premium Income Fund

With regard to post #86; this is the exact wording from IMF "Funding Agreement", FAQ page 1:

2. Who is the claim against and what is the claim for?

Last paragraph: "The claimants will allege an entitlement to compensation and/or damages for losses caused by the alleged breaches."

This sounds reassuring. And it is hoped, that quantum estimates will be run past PIF committee members.

I will then join the "WHOOOOPEE" brigade.

 

[selciper]

Re: Wellington Premium Income Fund

Simgrund -

You're not the only one who waited for a follow-up to #86 as you had requested. #86 offered no source. Like you, I'll hold back my cheering for a while yet - these cases usually take a long time to resolve.

 

[selciper]

Re: Wellington Premium Income Fund

This is an article in today's Age about class actions in general.

http://business.theage.com.au/business/class-conscious-rise-of-the-class-action-20090718-doz9.html

 

[Duped]

Re: Wellington Premium Income Fund

What's the response deadline? I haven't received my pack from IMF yet.

 

[marcom]

Re: Wellington Premium Income Fund

Duped, We also haven't received ours yet. As with Wellington mail outs we always seem to be at the end of the list.

Marcom

 

[mgr2118]

Re: Wellington Premium Income Fund

The Packs are available from www.imf.com.au

Currently second entry on page is for this action - just enter your details, and their automated system emails all relevant documentation.

Interesting to also note that IMF are funding the action by Octaviar shareholders - hopefully this would enable their lawyers to get the whole truth about the MFS/Octaviar saga.

 

[Duped]

Re: Wellington Premium Income Fund

PIN NSX Release 20 July 2009

"Mercedes Holdings Pty Ltd & Ors v KPMG & Ors - Class Action

Wellington Capital Limited, as responsible entity of the Premium Income Fund, has been advised by IMF (Australia) Limited (ASX:IMF) ('IMx") that documentation has been mailed to all Unitholders in tñe Premium Income Fund for the purposes of the class action proceedings currently before the Federal Court of Australia.

IMF is seeking to ascertain which Unitholders wish to join the current Applicants in this proceeding against the partners of KPMG as auditors of the Premium Income Fund and those persons who were directórs of MFS Investment Management Limited (now called Wellington Investment Management Limited) on or before 29 January 2008 in respect of alleged breaches of the Corporations Act 2001 (Cth).

A copy of the IMF documentation follows this release.

Unitholders should carefully read the IMF documentation and note that if a Unitholder wishes to have an opportunity to join the class action funded by IMF, the Funding Agreement must be returned to IMF by 3 August 2009.

Unitholders should note that the proceedings proposed to be funded by IMF will be for a 'closed class'. Unitholders will not be included as a member of the class simply because they held units in the premium Income Fund as at29 January 2008.One of the criteria for membership of the class is entry into a Funding Agreement with IMF prior to 3 August 2009. Any settlement of the funded class action will be for the benefit of the class members only.

As advised on 26 June 2009, following negotiations with the Applicants' legal representative these proceedings have by mutual agreement agreed to be discontinued against Wellington Investment Management Limited with no order as to costs. This means that Wellington Investment Management Limited will not be a party to these proceedings going forward.

Unitholders with queries in relation to the IMF documentation should contact IMF directly:
Mr Tim Mclernon
Toll Free 1800 016 464
Direct:
Email
+618 9225 2300
tmclernon@imf.com.au"

 

[Mary Lynch]

Re: Wellington Premium Income Fund

3rd August

 

[lawry1dog]

Re: Wellington Premium Income Fund

Could someone inform me that, what #86 wrote is wrong?
I am hoping that I will get all my money back plus interest.
But IMF, I understand will get 30% of that.

Is this correct?
This forum should shut down again, if #86 is wrong and if she or he is an
investment adviser or someone from Octaviar.


What #86 wrote.
It sems many members of this Forum are under an illusion as to the scope of the claim against KPMG. The claim is limited to the funds transferred to MFS satelite companies without unit holder approval.

IMF have stated that no claim will be made for lost interest or other consquential losses.

Sorry to disappoint.

 

[marcom]

Re: Wellington Premium Income Fund

Application today to the Supreme Court, Brisbane: WATSON & another -V- LATITUDE DEVELOPMENTS PTY LTD. This has something to do with the sale of the Mackay project. A couple of weeks ago there were 2 other applications with Latitude V Wellington Investment Management. Not sure of the outcome of those applications and there has not been any NSX disclosure.

MARCOM

 

[Calliope]

Re: Wellington Premium Income Fund

Duped,

I have just received the documentation from IMF. I have only had a quick scan of the papers, but nowhere have I seen a reference to PIF litigants.

In the Investigation, Management and Funding Agreement they have asked for details of Octavair (MFS) securities bought and sold for a specific period with no reference to Income Fund units.

On page 2 Item 5, we will obviously have to overwrite changes. Do you suggest a standard approach to this?

Cheers.

 

[Dexter]

Re: Wellington Premium Income Fund

Re my post #86

Please remember that Wellington still values the remaining units in the Fund at 44c in the $.

We cannot claim that from KPMG nor can we redeem it from Wellington as the majority of Unit Holders voted to end redemptions and have the units placed on the NSX.

Please contact Carneys or IMF regarding their current stance on claiming lost interest.

I have approx. $1m at stake so I am in the same boat as every one else.

 

[atlas1950]

Re: Wellington Premium Income Fund

Having been at the meeting at Carney's at the Law Society some eight weeks ago, I do recall Mr Carney saying that we will be claiming lost interest on our investments. Unless there has been a change, I do expect lost interest to be part of our claim.

Michael

 

[Duped]

Re: Wellington Premium Income Fund

Calliope,

We can track the case online at https://www.comcourts.gov.au/file/Federal/P/NSD324/2009/actions. The current plaintiffs and repondents are listed under the Parties tab.

IMF is also funding litigation on behalf of the Octaviar (MFS) Ltd (parent company) shareholders. Are you sure you have the correct IMF pack?

I got my pack from the NSX release (http://www.nsxa.com.au/ftp/news/021721669.PDF). Box 4 and Box 5 of page 2 of the agreement in the NSX release refer to Premium Income Fund Units.

I'm not sure how this will work if you opted for the automatic reinvestment because the interest and hence reinvestment units earned in January 2008 were 'paid'in Feb 2008 weren't they? I can't remember. Maybe that last issue of reinvestment units were already accredited by 29 January 2008. Can anyone confirm? Logically that last issue of reinvestment units should be included IMLO because they are rights associated with the units you had before 29 January 2008. Rights that have been affected by MFSIM's shenanigans and KPMG's failure to warn.

Please call Tim McLernon on 1800 016 464 to confirm any questions you have.

Hope this helps

 

[Duped]

Re: Wellington Premium Income Fund

Something I asked some time ago but got no response. Has anyone taken any legal action against their financial advisor for putting them in this fund? Depending on the progress/outcome of this class action, I'm thinking of taking action against mine. I just can't see any way that my advisor could have correlated PIF with the risk profile he gave me. PIF is essentially an investment in commercial property which I now read and learn, is hit fast and hard in a downturn.

Also, if a financial advisor has successfully argued that they couldn't be expected know the fund was dodgy if KPMG were OK with it then: wouldn't this add weight to our case against KPMG.

Anyone? Send me a private message. But don't breach your 'do not tell' clause from your settlement agreement. Can anyone point me in the right direction?

See http://www.slatergordon.com.au/docs... Quantum Westpoint PII court win 1_090707.pdf

 

[charles36]

Re: Wellington Premium Income Fund

Dexter, I agree we are all in the same boat. Wellington may value the properties at 44 cents, but the true value of the fund is what can you readily sell units for. The answer is about 12 cents and that is what the fund is worth. Since listing on the NSX there has been one transaction at 45 cents by Wellington itself. I like others would like to know the source of your contrary information.

 

[Calliope]

Re: Wellington Premium Income Fund

IMF is also funding litigation on behalf of the Octaviar (MFS) Ltd (parent company) shareholders. Are you sure you have the correct IMF pack?

Fund Units.

Thanks Duped. Yes I had the wrong pack.

 

[Joe Blow]

Re: Octaviar MFS Premium Income Fund PIF

The two seperate threads on this topic have now been merged.