Appointment of receiver of Dominion Finance Group
10 September 2008
Perpetual Trust appointment of receiver
of Dominion Finance Group
Moratorium proposal in relation to North South Finance
The directors of Dominion Finance Group Limited (DFG) have been advised by Perpetual Trust Limited, that Perpetual Trust has appointed Rodney Gane Pardington and Barry Phillip Jordan, both Chartered Accountants of Deloitte, as receivers and managers of DFG, rather than allow DFG to put its moratorium proposal to DFG stockholders for approval.
DFG provided Perpetual Trust with all essential terms of its moratorium proposal on 4 September, was at an advanced stage of preparing the necessary disclosure documents, and had wished to present the moratorium proposal to stockholders for consideration at a meeting of stockholders as soon as the trustee had approved DFG doing so.
The directors of DFG do not consider that Perpetual Trust's decision is in the best interest of DFG's stockholders, and are aware that a number of DFG stockholders have contacted the company to ask that they be given the opportunity to vote on the two alternatives.
Covenant Trustee Company Limited, the trustee for North South Finance Limited (NSF), has not appointed a receiver at this time and the directors' expectation is that Covenant will not do so. NSF has provided Covenant with all terms of the moratorium for NSF, and are working constructively with Covenant with a view to finalising disclosure documents and holding a stockholder meeting in late September/early October.