AN indefinite number of south-west residents fear the loss of their life savings, with the shock collapse of Banksia Financial Group leaving $660 million of investment in doubt.
The Victorian financial group, with an agency inPortland, went into receivership last week.
About 3000 Victorians, including some south-west farmers and rural businesses, had their investments frozen on Thursday night and receivers McGrathNicol are urgently working their way through the non-bank lender’s accounts.
“We are in the process of conducting an urgent review of BSL’s (Banksia Securities Limited) financial position, loan book and underlying security properties,” receiver Tony McGrath said.
“Our primary concern is to ensure the interests of debenture holders are being protected … and (it is managed) to maximise returns.”
The receivers said the money it owed had been advanced to borrowers to buy property, but the amount of any dividend was uncertain.
Read more in Saturday’s Hamilton Spectator and Monday’s Portland Observer.