Court report: an $80m Supreme Court bid
Hamish McNicol talks about just how much is at stake in the Ross Asset Management claw back test case. With special feature audio.
A Supreme Court date potentially awaits the first Ross Asset Management claw back test case, any decision from which could potentially be worth tens of millions of dollars.
This week it was revealed Wellington lawyer Hamish McIntosh is seeking leave to appeal a decision that meant he could keep his initial $500,000 investment in Ross Asset Management but had to return $454,000 of “fictitious profits.”
As a result, PwC liquidators indicate it will also seek leave to cross-appeal the matter, which could have major ramifications for the nearly $80 million of possible clawback claims liquidators have identified.
Last month, the Court of Appeal dismissed appeals by both Mr McIntosh and PwC after a High Court judge last year ruled the investor could keep his initial investment but had to pay back his “fictitious profits.”
Liquidators have identified total possible clawback claims worth nearly $80 million, a significant possible return on the Ponzi scheme which left more than 700 investors owed about $115 million.
The Court of Appeal’s decision, however, shrank the total value of the claims to $32.9 million, against 243 investors.
But now both parties will seek leave to appeal to the Supreme Court, any decision from which could be the difference between $80 million and $33 million.
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NBR Radio
Thu, 21 Apr 2016
Thu, 21 Apr 2016
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Court report: an $80m Supreme Court bid
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