Australia

The last-minute transfer of millions in cash from Australia to New Zealand has contributed to huge losses for investors in an Australian arm of Bridgecorp, BusinessDay.co.nz reported. But another questionable loan transaction between the two may have left New Zealand investors with the worst part of the deal. Receivers of Bridgecorp Finance told debenture investors this month they will get just A5.6 cents in the dollar after the company's high risk property lending, particularly to developments by former Australian test cricketer Craig McDermott, proved unrecoverable.

The Beaconsfield Gold Mine in northern Tasmania has until 5pm today to find another joint venture partner or face liquidation, ABC News reported. The mine is on the brink of receivership for the second time in a month. BCD Resources, formerly Beaconsfield Gold, first struck trouble, when a merger with Bendigo Mining failed. Perth-based Minemakers Limited bailed them out with a loan of up to $15 million. So far Minemakers has given them $8.5 million, but Managing Director Andrew Drummond now says the Beaconsfield mine is losing money too quickly.

Uncertainty surrounds the refurbishment of the Busselton Jetty, with the company responsible for the project going into voluntary administration, ABC News reported. The jetty upgrade is due to be finished in February but this week construction company Marine and Civil announced it would enter into administration, casting doubt over that completion date. Busselton chief executive Mike Archer has described the situation as "unsettling" but says he is liaising with administrators to ensure completion of the jetty project is a priority. He says if necessary, another contractor will be appointed.

The residents of six Sunshine Coast retirement villages caught up in a receivership action have been assured in a series of meetings this week that it would remain “business as usual” at the facilities, Sunshine Coast Daily reported. Receiver-manager KordaMentha yesterday told nervous residents of three Hibiscus-branded facilities at Buderim and Sippy Downs that they had nothing to fear. On Wednesday, a KordaMentha representative met with residents of two Hibiscus-branded facilities at Nambour and Noosa and the Buderim Gardens Retirement Village.

Glen Grant Constructions, a company which supplies pipeline company Northern Network Alliance's sub-contractor EcoCivil, went into receivership yesterday, Sunshine Coast Daily reported. Northern Network Alliance manager John Palmer said he received a briefing at 9am from EcoCivil during which he was told the sub-contractor had released none of its staff despite the day's events. Mr Palmer said EcoCivil and the NNA had assisted PPB, the appointed receivers of Glen Grant Constructions, to locate and retrieve equipment and machinery.

Baskin Robbins and Cookie Man franchise holder Allied Brands has gone into voluntary administration, after the company lost its licence to operate 92 ice-cream stores in Australia, The Sydney Morning Herald reported. Allied Brands administrator Vincents Chartered Accountants said this morning creditors had withdrawn from talks with Allied following the termination of its Baskin Robbins contract and the company was no longer able to trade as a going concern. Allied had been seeking to raise funds through a convertible bond issue and equity line of credit.

Banks are prepared to accept "appropriate" reforms to increase competition in the sector, the sector's peak body has declared. However Australian Bankers Association chief executive Steven Munchenberg also defended the decision of the Commonwealth bank to increase its key lending rates by almost double yesterday's official 25 basis point rise by the Reserve Bank Australia.

Amid the gloom hanging over the U.S. housing market, Australia continues to defy critics who say one of the world's few property hot spots is overdue for a correction, The Wall Street Journal reported. Another test will come at the landmark Sydney Opera House on Monday, when real-estate agency Ray White Ltd. holds an auction of 11 luxury dwellings, 10 in New South Wales, one in Queensland. The firm hopes the iconic venue will help persuade the invited bidders, mainly Asian, to snap up the properties, some for as much as 10 million Australian dollars (US$9.9 million).

One of WA's major dairy companies has gone into voluntary administration, after weeks of speculation that it was on the verge of collapse, ABC News reported. South West-based Challenge Dairy announced today it has gone into voluntary administration, admitting it owed substantial amounts to farmers. About half of the state's dairy farmers supply milk to the company, and a number of them say they have not been paid for milk supplied last month.

The Australian division of Krispy Kreme doughnuts has gone into voluntary bankruptcy, the company said, UPI reported. With bankruptcy, which is referred to as voluntary administration in Australia, the company is seeking to find a way to save any parts of its business. Krispy Kreme spokesman Matthew Horan told the Australian Broadcasting Corp. Monday the company troubles were the result of several poorly performing stores.