FNArena Alert: Opes Prime Appoints Voluntary Administrators

This story features ANZ GROUP HOLDINGS LIMITED. For more info SHARE ANALYSIS: ANZ

The company is included in ASX20, ASX100, ASX200, ASX300 and ALL-ORDS

By Rudi Filapek-Vandyck

The global credit crunch just added another victim in Australia. Its name is financial services group Opes Prime. The news is spreading fast this morning throughout the Australian stockbroking and financial services community that receivers and voluntary administrators have been appointed to the company.

Accountancy group Deloitte confirmed today the voluntary administrators had been appointed by a secured creditor, ANZ Bank ((ANZ)), as receivers and managers of Opes Prime Group Limited, Opes Prime Stockbroking Limited, Leveraged Capital Pty Ltd and Hawskswood Investments Pty Ltd.

Deloitte said the directors appointed John Lindholm of Ferrier Hodgson as voluntary administrator when they became aware of a number of cash and stock movement irregularities in relation to a small number of accounts.

The statement said the shortfalls in these accounts led directors to believe the trading operations could not continue. Trading operations have stopped and all on-market trading activity of both Opes Prime Stockbroking and Leveraged Capital have been suspended. In addition, the receivers have frozen all client accounts, including direct trading facilities, for both Opes Prime Stockbroking and Leveraged Capital.

The Australian Securities and Investments Commission (ASIC) has started an investigation.

Click to view our Glossary of Financial Terms