This article is from the Australian Property Journal archive
THE Australian Securities and Investments Commission has recovered $24.5 million for Westpoint investors including $2.5 million from Glenhurst Corporation Pty Ltd.
The Glenhurst settlement is one of six reached by ASIC on behalf of investors in the Westpoint Group seeking compensation for their failed investments. The settlement will provide returns to 90 investors and payments have been posted during the course of this week.
Other settlements reached by ASIC include Professional Investment Services Pty Ltd ($5.9 million); Bongiorno Financial Advisers Pty Ltd and Bongiorno Financial Advisers (Aust) Ltd ($2.6 million) and State Trustees Ltd ($13.5 million).
A settlement agreement with Joseph Dukes and Barzen Pty Ltd (formerly Dukes Financial Services Pty Ltd) ($1 million) is subject to approval by the Federal Court and, if approved, will take the total compensation to $25.5 million. These settlements have provided benefits to almost 1000 investors.
Since 2007, ASIC has launched 19 actions for the benefit of Westpoint investors. In all, investors are expected to see a return of about $100 million of the $388 million in losses.
The Westpoint group of companies collapsed in 2006 owing $388 million to approximately 4000 investors.
Australian Property Journal
