Vestar clients begin taking legal action

In the wake of another finance company in trouble, over 30 Vestar Clients met in Auckland yesterday to look at ways forward to seek recovery action of loses due to the finance company collapses.99% of EUFA members went to a professional financial advisor for advice which included the financial advisory company, Vestar.

The meeting organised by EUFA (Exposing Unacceptable Financial Activities Inc Soc.) was the first of Vestar client meetings planned from Northland to Invercargill with further meetings expected. Vestar Clients from throughout New Zealand are expected to join the action.

The mood of the meeting yesterday was sombre coupled with determination to seek accountability. A litigation Lawyer who advised the meeting on the next step in the legal process explained to the aggrieved investors of the actions they could take as a group.

Suzanne Edmonds coordinator of EUFA said “EUFA members, clients of Vestar, have already filled in questionnaires and provided documents for the purpose of group action and the people are ready to take vigorous action” She added “It is almost a year since Bridgecorp went into Receivership and investors have been feeling powerless until now as taking this forward step gives them their power back”

Meeting attendees voted unanimously to support a fighting fund and pursue all avenues available to seek recovery action.

An investor who would not be named said “The sale of Vestar has made our collective stand very urgent as we feel very vulnerable about the position the sale may leave us in.”

In an “ intermediary Update” put out by Vestar investment specialists, dated 10 June 08 referred to the current update on the sale of Vestar, they say “The clients are at the heart of the Vestar business and Gould’s are focused on rebuilding the Vestar business around client investment needs”

Suzanne Edmonds stated “We had been attempting to work with Vestar and were hopeful that Vestar would have wanted to restore client confidence by working with us to sort out the grievances, but the proposed sale has put a stop to that.”

It is expected that the Investors who attended the Auckland meeting will meet again with the litigator next Thursday.