The news from PerthNow website is that some individuals involved in Firepower will soon face a multi-million dollar lawsuit. According to the report, the liquidator Bryan Hughes said he has been helping litigation funder IMF Australia and the Australian Securities and Investments Commission with details surrounding the collapse of Tim Johnston’s failed enterprise.
It is understood IMF is heading a small group of investors who are trying to claw back about $40 million of the $100 million lost in the scam. The claim could target Mr Johnston, former WA Police Minister Gordon Hill and businessman Warren Anderson, according to the report.
My only comment is that this news seems rather old, given that the $40 million worth of lawsuits have been underway for some time. And my understanding is that the lawsuits are targeted mainly at insurance companies rather than individuals.
But it is always good to remind people that here we are in September 2010 … still no arrests … still no criminal prosecutions.
This is despite Mr Hughes’ reported comments about his own liquidator’s report (handed to ASIC months ago): “The report has uncovered a raft of breaches including fraud, theft, and deception, which warrants prosecution.”
“We have highlighted a number of confessed breaches of Australian law. We have highlighted a number of areas of his evidence that support certain criminal and civil action proceedings.”