Allied Farmers says no deal yet with Property Ventures directors

Wednesday 10th January 2018

Allied Farmers says a deal hasn’t yet been reached with the directors of property developer Dave Henderson’s Property Ventures Ltd (PVL), contrary to reports yesterday.

The Hawera-based rural services firm is a beneficiary of the litigation against PVL after selling various loans to a unit of the action's funder in 2013. While a deal has been reached with the developer's auditor PwC, the liquidator was still pursuing PVL's former directors Austin Forbes, Alister Johnston, Gordon Hansen, Adolf de Roos, Daniel Godden and their insurer Vero Liability Insurance.

Fairfax Media yesterday reported liquidator Robert Walker settled the claim with the directors ahead of a High Court hearing in February, however Allied Farmers today said the report jumped the gun.

"The liquidators have advised Allied that the media article is premature and that the liquidators are not aware of a final settlement having been formally reached," chair Garry Bluett said in a statement to NZX.

Bluett said he didn't know the amount of the PwC settlement or have any further insight into the suit against the directors, and "therefore is not able to provide any further guidance on the proportion of the net proceeds, if any, payable to Allied."

The company took on the loans in its ill-fated 2009 acquisition of the Hanover and United finance group's loan book that wasn't worth as much as initially thought. It sold them for $100,000, and at the time said that could rise to $500,000, but has since said if the litigation is successful it could be in for a larger return.

Allied shares last traded at 11.5 cents and have gained about 64 percent over the past 12 months.

(BusinessDesk)

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