Former Oz fast bowler McDermott may face class action

September 12th, 2008 - 2:16 pm ICT by ANI  

Sydney, Sept.12 (ANI): Craig McDermotts fall from grace continues.
Now, it seems that the former Australian fast bowling great might have misrepresented his personal assets when taking out a multimillion-dollar loan in the name of his collapsed investment company Bridgecorp.
The claim will be galling for 770 Bridgecorp investors whose main chance of recovering their investments were in clawing back money from McDermott, who owes the lender 19.6 million Australian dollars, reports the Sydney Morning Herald.
In 2005 the former Test fast bowler was riding the crest of a Queensland property boom. In a statement that year to Bridgecorp Finance, McDermott said he owned his 7.5 million dollar Gold Coast mansion among total assets of 20 million dollars.
But he has told the receiver that the house, along with millions of dollars in jewellery, furniture and property investments, belongs to his wife, Ann-Maree.
Last night the receiver Brian Silvia, of Ferrier Green Krejci Silvia, sent a letter to Bridgecorp investors about McDermott’’s apparent misrepresentation.
The investors could receive as little as 2.6 cents in the dollar back. The loan to McDermott’’s companies was Bridgecorp’’s biggest asset.
McDermott declared himself bankrupt in June, listing his occupation as unemployed. The 43-year-old’’s property development company, Maxen Developments, is in liquidation.
Maxen’’s creditors are considering a fighting fund to launch court action against McDermott. (ANI)

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