New Zealand

The Securities Commission is warning Strategic Finance investors to be "wary" of a 5c in the dollar offer for their debentures in the collapsed finance company, The National Business Review reported. Australian company Stock and Share Trading Company Pty Ltd initially offered investors 20c in the dollar but has since come back with the much lower 5c. The same company has also attempted to entice St Laurence debenture holders with an 8c in the dollar deal, having initially offered 20c.

A Marlborough contract grape grower has gone into receivership, The Marlborough Express reported. Awatere Vineyard Estates Ltd and Awatere Vineyard Holdings Ltd was put into receivership at the beginning of the month. The company owned 299 hectares of land, with 128 hectares planted with sauvignon blanc and a small amount of pinot gris. Chartered accountants William Black and Andrew Grenfell of McGrathNicol Auckland were appointed receivers and managers of both companies.

An insolvency practitioner says a High Court decision that the taxman still comes first in a voluntary administration undermines the fledgling system and may deny struggling businesses the chance to avoid liquidation, The New Zealand Herald reported. Voluntary administration was introduced in 2007 as an alternative to liquidation or receivership. The aim is to rehabilitate companies, and it can result in unsecured creditors getting more of their money back.

The former head of New Zealand's biggest private dairy operation is expecting to be able to pull an offer together for receivers this week, but admits he's got no idea whether it will be enough to stave off receivership, The New Zealand Herald reported. Allan Crafar says he is considering "three very good options" from overseas interests, which he hopes to be able to present in the next few days.

Dozens of out-of-pocket Blue Chip investors packed into Auckland District Court this afternoon had mixed reactions when Mark Bryers, the man they trusted with their lost cash, was fined a total of $33,750 and ordered to do 75 hours community work, The National Business Review reported. Bryers (52), a bankrupt who has lived and worked in Sydney since 2007, faced 34 charges prosecuted by the Ministry of Economic Development for breaching the Companies Act and the Financial Reporting Act. Bryers’ Blue Chip empire collapsed in 2008, owing more than 2000 investors more than $84 million.

Auckland-based property financier Viaduct Capital has been placed into receivership, owing $7.8 million to investors, The National Business Review reported. While the Treasury booted Viaduct Capital out of the retail deposit guarantee scheme last April, approximately $7.3 million of secured debentures are still covered by the guarantee. The balance – just $500,000 – is unguaranteed. The guarantee was still valid for deposits made up until the withdrawal of the guarantee on April 20, 2009. The withdrawal forced Viaduct to cancel a prospectus seeking $50 million.

Creditors for the Riverland freight business, Fletcher's Freighters, will meet today to discuss the company's future, after the owner Barry Fletcher was made redundant, ABC News reported. Fletchers Freighters went into voluntary administration in March this year, to allow more time to developing a restructuring plan. But less than two-months on, interstate depots in Brisbane, Sydney and Melbourne have closed. Administrator McGrathNicol says there are about 100 workers left with the company, although the recent loss of a contract with National Foods cut 40 per cent of the freighter's business.

Rockforte Finance, the minnow finance company caught up in last year's liquidation of the Jeans Jones retail chain, has become the fourth lender guaranteed by the government to fail, BusinessDay reported. Katherine Kenealy and Dennis Parsons of Indepth Forensic have been appointed receivers of the Gisborne-based lender, which owes some 70 investors about $3.2 million. The Treasury confirmed all eligible depositors are covered by the government’s guarantee.

A trustee yesterday moved against one of the country's largest property businesses, putting it into receivership. Finance company St Laurence, which owes 9000 investors $245 million, had proposed investors take a shareholding in the company as an alternative, The New Zealand Herald reported. But yesterday Perpetual Trust appointed Barry Jordan and David Vance of Deloitte as receivers. The St Laurence board this morning issued a statement saying it was "disappointed" that Perpetual Trust had appointed a receiver.

Property investment company St Laurence has been placed in receivership by its trustee a day after the company put forward an alternative debt for "equity" swap, The National Business Review reported. Perpetual Trust has appointed Barry Jordan and David Vance of Deloitte as receivers of St Laurence, which owes 9,000 investors $245 million. The move to receivership comes after St Laurence indicated yesterday it was insolvent and could no longer meet its scheduled moratorium payments to investors.