Friday 22 June 2007 LAWFUEL – The Legal Newswire – The Australian Securities and Investments Commission (ASIC) has obtained orders, by consent, from the Supreme Court of Queensland in Brisbane against Hillston Grove Vineyards Ltd (HGVL) and Managed Investments Australia Ltd (MIAL), the operators of an illegal managed investment scheme called the Hillston Grove Vineyards Project (the Scheme). The Court made orders following an application by HGVL and MIAL (together ‘the Operators’) in which they sought approval from the Court to put a restructure proposal to the investors in the Scheme, involving the raising of another $4 million from the investors, through the issue of further shares in HGVL.
Following concerns raised by ASIC, the Court ordered that: • until the trial of ASIC’s application to wind up the Scheme and its Operators, the Operators and their representatives are restrained from soliciting any payment from any of the investors in the Scheme; and • in the event that the Operators receive any funds from any investors in the Scheme, those funds are to be forwarded to Justin Walsh of Ernst & Young, appointed by the Court as a trustee for the investors.
Following further concerns raised by ASIC with the Court in relation to fundraising and the attempt to raise another $4 million, the Court also ordered that: • HGVL prepare a disclosure document complying with the Act for any proposed capital raising and lodge it with ASIC no later than 17 July 2007; • HGVL appoint Justin Walsh of Ernst & Young as Chairman of any meeting of investors, for which 21 days notice must be given to ASIC before such meeting is held; and • copies of any communication by the Operators to or from the investors, be provided to ASIC within three business days.
The Operators are also required to publish and retain a copy of the Court’s Order on their website, located at www.hillstongrove.com This action follows orders obtained from the Court on 8 September 2005 which prevented the Operators from, amongst other things, acting in any way to further the operation of the Scheme and offering to or issuing any shares in HGVL. For further information contact: Jan Redfern Executive Director, Enforcement Telephone: 02 9911 2191 Mobile: 0411 119 210 Danielle Huck ASIC Media Unit Telephone: 03 9280 3407 Mobile: 0417 540 769List your legal jobs on the LawFuel Network