Hubbard investors receive further payments as assets sold, statutory managers say

Thursday 30th May 2013

Hubbard Management Fund investors will receive a third payment of 15 cents in the dollar from statutory managers, taking the total returned so far from the failed fund to 40 cents in the dollar.

"We continue to realise the more liquid investments in Hubbard Management Fund in addition to investments with a more limited market demand for their full value, for the return to investors," statutory management firm Grant Thornton said in a statement. The remaining investments "are now mostly unlisted or low liquidity assets which will be more difficult to realise quickly for good value."

Future payments will be made when the managers can realise sufficient investments, the statutory managers said. The latest payment totals $3.2 million.

Meanwhile, investors in the late Allan Hubbard's Aorangi Securities will receive their first repayment since the statutory managers came to an agreement with his widow Jean earlier this month over disputed assets.

Aorangi investors will get 5 cents in the dollar, taking the total received so far to 20 cents in the dollar, the managers said. The latest payment totals $4.8 million.

Scheduled farm settlements at the end of May and early June should allow further payments to Aorangi investors by the end of June, the managers said.

The statutory managers cut a deal with Jean Hubbard, the widow of late businessman Allan Hubbard and the executor of his estate, earlier this month over $60 million of disputed assets which will mean investors in Aorangi will get most, if not all, of their capital returned.

An update on the further realisation of assets will be included in the next Aorangi statutory managers' report due late July.

BusinessDesk.co.nz

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