Mick, with respect, the corporations law is almost as opaque as CASA regulations. You are assuming a clarity that does not exist. If the law was as you say it is, the bond holders would not be investing hundreds of thousands of dollars (and potentially millions) in court action. The bond holders are not noted for being stupid, nor are they noted for throwing good money after bad. Section and Blackout have both noticed this.
That's a load of tosh. You seem to be completely ignorant to the notion of classes of creditors. The bondholders are unsecured creditors; save shareholders the bondholders are at the bottom of the pile.
I know they are unsecured, that is not the point. They are entitled to their share of the value realised. The question they are asking is has this value been maximised? Bain and Deloittes won’t tell. Furthermore, there is the question of some unsecured creditors being more equal than others.
Of course you are better informed than two global entities.
I have perhaps $100 million experience in dealing with Macquarie, BT and major “venture” players in this country and I still have the mental scars from it. These people will sell their own grandmothers.There is no dirty trick too low for them to use. The public school accents and nice suits have obviously fooled you.
‘’Regarding “of the same class”, DOCA, etc, you didn’t understand what I wrote. What I am trying to explain is that it is not as simple as signing a DOCA and starting again.
For example if Virgin defaults, 2 billion in bonds go up in smoke, it gets sold for peanuts to Bain, Bain or the Federal Government loan Virgin money to continue
and Virgin pays interest on that money. That means that virgin could have made a deed of arrangement with its creditors and thus the bonds didn’t need to be extinguished.
The bond holders do have rights, they have a right to go through the proposed deal with a fine tooth comb and the FACT THAT BAIN AND DELOITTES WONT LET THEM, Tells me all I need to know.
‘Get it through your head that this is a wrestling match with no rules, not a simple yes/no transaction.