Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


RAM Liquidation Must Work for Investors

Ross Asset Management Investors Group

23 November 2012: For immediate release.

MEDIA RELEASE – RAM Liquidation Must Work for Investors

The Ross Asset Management Investors Group is deeply concerned that it is now confirmed that there is very little money left in RAM (Ross Asset Management in receivership) for distribution to investors. Most of the investors were ordinary New Zealanders of limited means, and many have been left destitute by the failure of the company.

We are also aware that the High Court will probably put RAM into liquidation on Monday. This may start a process, which based on previous liquidations in this country, may involve extensive litigation and costs that absorb all the remaining investor’s funds, and leave investors with little or nothing.

We are calling for the work of liquidator to be put out to competitive tender, with the following provisos:

• That tenderers for the work be required to describe their liquidation methodology in advance; how they will control and minimise all costs to RAM investors, while maximising returns to RAM investors.

• This will include limiting the direct cost of the liquidator themselves and limiting the cost of litigation by the liquidator and by investors, especially if a voidable preference regime or similar is implemented. The methodology must be flexible to cater for a range of potential paths and outcomes.

• The successful tenderer is to be chosen on the combination of maximum returns to investors, least overall cost, and previous experience.

The available pool of funds from RAM is small and investors can only hope to get a part of their investments back. It is incumbent on the authorities to conduct this liquidation in a manner that does not allow what little is left to be devoured by fees and litigation.

RAM investors and all investors in New Zealand deserve an investment environment that works.

Ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Tax: GST Threshold For Online Purchases Won't Lower Before 2018

The government wants to lower the threshold on online purchases which qualify for GST from mid-2018, but says more work is needed and there will be no change without public consultation. More>>

ALSO:

North Canterbury: Government Extends Drought Classification

The government has extended a drought classification for the eastern South Island until the end of the year, meaning the area will have officially been in drought for almost two years, the longest period for such a category. More>>

ALSO:

Negotiations Fail: Christchurch Convention Centre Build To Proceed Without PCNZ

After protracted negotiations, the government has ditched the construction consortium it picked to build Christchurch's replacement convention centre, which it now anticipates delivering at least two years behind the original schedule. More>>

ALSO:

Other Centres' Convention Centres:

Ruataniwha: Greenpeace Launches Legal Challenge Against $1b Dam Plan

Greenpeace NZ is launching a legal challenge against a controversial plan to build a dam that’s set to cost close to $1 billion and will pollute a region’s rivers. More>>

ALSO:

Inequality: Top 10% Of Housholds Have Half Of Total Net Worth

The average New Zealand household was worth $289,000 in the year to June 2015, Statistics New Zealand said today. However wealth was not evenly distributed, with the top 10 percent accounting for around half of total wealth. In contrast, the bottom 40 percent held 3 percent of total wealth. More>>

ALSO:

What Winter? Temperature Records Set For June 20-22

The days around the winter soltice produced a number of notably warm tempertaures. More>>

Conservation Deal: New Kākāpō Recovery Partnership Welcomed

Conservation Minister Maggie Barry says the new kakapo recovery partnership between DOC and Meridian Energy is great news for efforts to save one of New Zealand’s most beloved birds. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news