Wellington Capital PIF/Octaviar (MFS) PIF

[marcom]

Re: Octaviar MFS Premium Income Fund PIF

Something must be happening with the Mackay Latitude property as there is now an application to be heard 9.30 tomorrow in the Brisbane Supreme Court: LATITUDE AT MACKAY PTY LTD -V- WELLINGTON INVESTMENT MANAGEMENT LIMITED & others. As I posted eariler, the same application was introduced a couple of weeks ago. Hope it means that a sale is getting closer.

Still no word on Justice McMurdo's long awaited judgement on the Octaviar liquidation case involving the Public Trustee of Queensland.

Marcom

 

[simgrund]

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.

This is helpful, mgr2118. Let' s get it really noticed:

GET YOUR IMF PACKS FROM
www.imf.com.au

MUST MAIL BEFORE 3 AUGUST 2009

 

[Duped]

Re: Octaviar MFS Premium Income Fund PIF

My understanding:

IMF must RECEIVE your application BY 3 August.

 

[wally3218]

Re: Octaviar MFS Premium Income Fund PIF

My mother who is the unit holder hasnt recieved any informaion about this class action, how many other unit holders who dont use this forum will miss out on joining in the class action because they havent recieved any information either.

 

[breaker1]

Re: Octaviar MFS Premium Income Fund PIF

The previous return date for IMF kits was 3 August 2009, after an enquiry with IMF that it might be extended, I received the following reply extending it to 30 August 2009:

"The investigation period ends 30 August so lets use that as the extended return date."
signed John Walker Executive Director IMF.

AS OF LATE THIS AFTERNOON THE NEW RETURN DATE FOR IMF KITS HAS BEEN EXTENDED TO 30 AUGUST 2009

 

[simgrund]

Re: Octaviar MFS Premium Income Fund PIF

My understanding:

IMF must RECEIVE your application BY 3 August.

WELL POINTED, DUPED
In the unlikely event of the return envelope (provided with the pack) vanishing in your household, here is the IMF address for mailing out your packs:[/SIZE]

IMF (Australia) Ltd
Reply Paid Z 5106
PERTH ST GEORGES TCE WA 6831[/SIZE]

 

[marcom]

Re: Octaviar MFS Premium Income Fund PIF

Breaker, we finally received our pack yesterday because it was originally sent to our previous address and luckily forwarded by a good neighbour. We checked that our current address was registered with Wellington 2 months ago, so IMF have been given an ouy of date list by Wellington.

Marcom

 

[Tybalt]

Re: Octaviar MFS Premium Income Fund PIF

I have been told by IMF that they now only require Page 1 of the Agreement to be completed and returned to them. The reason for the change is that Wellington has provided with them with details of all unit holdings. Future packs to be sent out will advise this. However, they say they are not able to separately advise those to whom packs have already been sent out.

 

[breaker1]

Re: Octaviar MFS Premium Income Fund PIF

Breaker, we finally received our pack yesterday because it was originally sent to our previous address and luckily forwarded by a good neighbour. We checked that our current address was registered with Wellington 2 months ago, so IMF have been given an ouy of date list by Wellington.

Marcom

Will advise IMF as above - see if they can get the updated version - it may be too late however as I assume the mailout is too far underway to change.

thanks M

NOTE: AS OF LATE THIS AFTERNOON THE NEW RETURN DATE FOR IMF KITS HAS BEEN EXTENDED TO
30 AUGUST 2009

 

[JohnH]

Re: Octaviar MFS Premium Income Fund PIF

For what it's worth, I emailed a copy of my forms to IMF last night, and received an acknowledgement email this morning.

 

[Towbar]

Re: Octaviar MFS Premium Income Fund PIF

Myself & my wife, both substantial unit holders have not receivrd our Imf packs, how many other investors are still waiting?

 

[Calliope]

Re: Octaviar MFS Premium Income Fund PIF

All this "shouting" is unnecessary. It is not only annoying, it is against the rules.

 

[Duped]

Re: Octaviar MFS Premium Income Fund PIF

Sorry. I didn't intend for my last message to come across as shouting.

 

[Duped]

Re: Octaviar MFS Premium Income Fund PIF

Hopefully the claims under related party transactions extends far deeper into the PIF portfolio than e.g. the $147M that WC is pursuing.

Hopefully even deals like the Forest Resort in Creswick and Latitude in Mackay. They certainly reek of conflict. Have a look at the case studies at www.mfsversa.com.au. Versa is claiming to have done these amazing deals for their clients ("Versa ... were able to structure a funding package through MFS" - Forest Resort), but surprise surprise, the 'funding' came from PIF. So whose interests was MFS representing? Their Developer clients or us PIF investors? Conflicted Conflicted Conflicted. Chinese walls and regulatory oversight? - FAIL.

As for the Latitude 'case study': no mention that this was also funded by MFS (i.e. PIF).

I wonder how many of the other 'case studies' were 'funded' by PIF. They are:
Enterprise Industrial Estate (Lots 8 & 9 Tilley Lane, Frenchs Forest NSW)
Shores (39-41 Head St, Forster NSW)
Central Park Estate (Cemetary Rd, Sarina QLD)
Waterfront (131-137 Princes Hwy, Sylvania NSW)
Volante (Captain Cook Hwy, Port Douglas QLD)

Then of course there's our 'investments' as unsecured creditors in MFS 'assets' like Sheraton Mirage Port Douglas and Gold Coast. How much do they owe us?

Don't forget our losses in other MFS funds like LLA and GEO.

Seems like there's materially little that wasn't a related party transaction. An MO given a big tick of approval by KMPG. Now that the 'commercial in confidence' veil has been removed it's apparent MFS didn't have a clue what a 'related party transaction' was - but KPMG gave them the go ahead.

 

[marcom]

Re: Octaviar MFS Premium Income Fund PIF

Duped, I was trawling around and found this old article about the $147.5M loans situation with a very important point about the Ray Group loan which I have highlighted.

The source is http://www.smartcompany.com.au/Free...itors-want-more-than-1-billion-from-MFS-.html

Angry creditors want more than $1 billion from MFS
Wednesday 25 June 2008 22:01

Embattled funds management group MFS (now known as Octaviar) is facing more legal action, after allegations that $147.5 million was siphoned from MFS’s Premium Income Fund and lent to seven parties just months before the fund was frozen.

Octaviar confirmed yesterday that Wellington Investment Management, the new manager of the frozen Premium Income Fund, has launched legal action to recover the cash.

According to The Australian Financial Review, Wellington director Jenny Hutson – a close associate of new Octaviar executive director and major shareholder Chris Scott – claims $37.5 million of the money was lent to a joint venture between MFS and Ray Group, the property development group founded by the late Gold Coast developer Brian Ray and now run by his son Tom.

The Ray family – who were valued at $130 million on BRW’s Rich 200 in 2006 – was involved with several projects with MFS, including the developments at Port Douglas and the ski resort of Mount Hotham in Victoria.

A spokesman for the Ray Group declined to comment and referred all inquiries to Octaviar, as responsible entity for the Octaviar/Ray Group joint venture.

Octaviar’s company secretary David Anderson did not return calls before SmartCompany’s deadline. However, one source close to Octaviar has suggested that the company’s initial investigations into Hutton’s claims of a loan to the Octaviar/Ray joint venture has failed to find any record of the transaction.

MFS’ debt-ridden business model unravelled earlier this year as global credit markets as a result of the sub-prime crisis.

A creditors’ update released by the company yesterday reveals a queue of organisations lining up to claim cash from Octaviar. The tax office wants $60 million, OPI Pacific Finance (a company associated with Octaviar) has claimed $270 million, and National Australia Bank is demanding $40 million.

In addition, the Public Trustee of Queensland (PTQ) is seeking winding up orders against Octaviar and three subsidiaries in relation to unsecured notes and interest totalling approximately $351 million, with that claim to go before the Queensland Supreme Court on 9 September. Financial services company Challenger is also owed $100 million.

 

[Blueboy1]

Re: Octaviar MFS Premium Income Fund PIF

FYI

The return date for IMF contracts relating to the funding agreement has been extended from the original date of 3 August 09 to 30 August 09.

 

[Duped]

Re: Octaviar MFS Premium Income Fund PIF

I've just received the pack through the link (http://www.imf.com.au/cases_ip.asp?case=KPMG) on the IMF website.

The deadline given is still 3 August so that's the deadline I'll be meeting.

 

[Cookie1]

Re: Octaviar MFS Premium Income Fund PIF

Article in Money Management today of interest

Source: http://www.moneymanagement.com.au/a...-demand-inquiry-into-MFS-Octaviar/491652.aspx

Burned investors demand inquiry into MFS/Octaviar
24 July 2009 | by Mike Taylor

The collapse of Gold Coast funds management and investment group MFS and its impact on investors in the Premium Income Fund has now emerged as an issue before the Joint Parliamentary Committee of Inquiry into Financial Services and Products.

Successive submissions to the so-called Ripoll inquiry have referred to the Premium Income Fund, all distributions and redemptions of which were frozen in January last year.

The submissions relating to the Premium Income Fund make clear that as a result of the freeze and the loss of distributions, many investors have been left relying on social welfare benefits.

The submissions have also requested a Senate Inquiry into allegations that MFS and its successor firm, Octaviar, may have improperly dealt with funds from the Premium Income Fund to prop up other operations.

The submissions allege that as much as $330 million belonging to the Premium Income Fund may have been affected by the operations of MFS and Octaviar.

The submissions argue that the Federal Government’s bank deposit guarantee has impacted funds such as Premium Income Fund and that any Senate inquiry should extend to include a government guarantee to investment deposits of injured funds such as Premium Income Fund.

 

[simgrund]

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.

Hello Calliope,
The reference you seek is in the "Note" on page 1 inside "Applicant Details".
You probably came across it by now.
I am here to ask PIF AG to post if possible the IMF notice of extension which will verify and provide peace of mind to some still confused.
Best regards, simgrund

 

[Calliope]

Re: Octaviar MFS Premium Income Fund PIF

Simgrund,

My problem was, as Duped suggested, was that I had the wrong pack. With the correct pack I still had a problem as I could not complete the Trade Details because I haven't kept the details of Purchases and Redemptions over the years.

The only detail I could provide was Closing Balance i.e. Number of Units Held on 29th January 2008.

These of course are the units which haven't been redeemed.

Cheers.