Hi Denise
I have written to you before. I have read many of your articles, in particular those on TRIO Capital and the banks.
I wish to point out to you the unique bank experience TRIO investors experienced.
No doubt you have read much about TRIO of late. The scarcity of fact is incredible. I state everything I state in the following paragraphs is able to be supported with official documents. In addition I am able to pass on an affected investor. Please, if you require any clarification or expansion of my points please respond. I have no motive other than exposure and compensation for victims
Last preliminary point. The SMSF investors have been hurt. However all recent publicity concerns them with the stated and implied position that those in APRA regulated funds have been looked after. Nothing could be further from the truth and it these investors I refer too.
The vast majority of APRA regulated investors did so via diversified TRIO funds. These diversified funds were typical fund to fund structures and I am sure you agree that it is not uncommon for such investors to place entire superannuation savings into such products.
Much has been published about the exposure to ASF and to the Government's bailout. (the government ruled on the bailout but the funds come from a levy of other superannuation funds). THIS EXPOSURE TO ASF REPRESENTED JUST A PART OF THEIR LOST FUNDS, approximately 32%. Nobody will talk about the other investments However:
-- 12% was invested in a so called private equity fund, Millhouse. When TRIO blew up the unit price of this fund dropped to 0 overnight.. It too had reorted strong consistent earnings for years. Not even an ASIC enforceable order for this manager, an original TRIO Director. No compensation even aplied for.
-- 16% was invested in a so called property fund, UALAN. When TRIO blew up in 2009 this fund's unit price also dropped to 0 (less than 0 when you see last point) overnight. Not even an ASIC enforceable order for this manager, an original TRIO Director. APRA have aggressively ambushed any attempts at Part 23 Compensation
-- 40% was held in unaffected assets which were all sold down to cash. Unfortunately less than 50% of this cash asset was returned to investors. Where did the remainder go?
-- I mentioned above that the UALAN investment lost in excess of 100%. For the only time in Australian history these unfortunate investors had their cash assets used to satisfy bank loans committed to by Ualan. St George Bank and ANZ were paid settlements from investors cash assets, in what was a fund to fund structure, with either APRA silence or approval. APRA preferred to look after bank buddies than investors At least one investor has lodged a formal complaint via these bank's dispute resolution process.
-- The rest of theh cash fund went in fees to the APRA appointed Trustee ACT a division of McGrath Nicols. The se fees were signed off on a monthly basis by APRA.
Denise I won't go on and on but hope these brief summaries are enough for you to seek further information.
Regards
Pete