MFS LIMITED (ASX.MFS)

The Federal Court has ordered that Mr Michael Christodoulou King be bankrupted following ASIC's presentation of a creditor's petition regarding his failure to pay a pecuniary penalty order of $300,000. Justice Kylie Downes found the Court could make orders to declare Mr King bankrupt based on the unpaid pecuniary penalty, even though such debt is not one provable in bankruptcy. Her Honour decided to bankrupt Mr King on the basis that: he owes provable debts exceeding $177 million and there was no evidence to suggest he can pay them (and is therefore insolvent); there is a strong public interest in protecting the public and giving fair notice in dealing with an insolvent person; and there was nothing inappropriate in ASIC seeking bankruptcy against an insolvent debtor, or about the fact that it had done so without having its costs orders assessed. (ASIC previously took enforcement action against Mr King, with the Queensland Supreme Court finding in May 2016 that he, together with four other individuals, committed 217 breaches of the Corporations Act regarding the misappropriation of funds from the Premium Income Fund.)

reports in the SMH that on the first day of liquidators' examinations into MFS, now Octaviar, David John Kennedy (employed as chief operating officer) described uncontrolled spending of MFS executives, ''Mickey Mouse'' approval processes and a hostile culture in which the company's chairman, former Liberal leader Andrew Peacock, screamed at staff - Mr Kennedy told the NSW Supreme Court he started work for MFS in May 2007, as chief operating officer - a role that no one at MFS ever lasted long in - he said real decisions were made at board level, and that Michael King was ''the decision-maker'' - an internal investment approval committee could reject a proposal, only to have Mr King override the decision and approve it anyway

name changed to Octaviar Limited

at the EGM shareholders agree to change the name to Octaviar Limited

company provides a business update

the Board of Directors of IMF (Australia) Limited announces that it proposes to fund claims that certain MFS shareholders have against MFS

the board writes to shareholders advising them not to support resolutions proposed by Chris Scott for board replacements - also summarising the sale of assets and that further information will be made available at the EGM on 28 March

MFS has been notified today by interests associated with Mr Chris Scott that a general meeting has been called by him for 7 April 2008 under Section 249F of the Corporations Act 2001 - MFS is taking legal advice as to the validity of the calling of the meeting

MFS Limited (ASX: MFS) confirms that an Extraordinary General Meeting of shareholders will be held on Friday, 28 March 2008 commencing at 9.00am (Melbourne time) at The Westin III, The Westin Hotel, 205 Collins Street, Melbourne - the resolution to be considered at the meeting will be the change of the company's name to Octaviar Limited

Funds advised by CVC Asia Pacific (CVC) have completed the $409.2 million purchase of 65% of Stella Group from MFS Limited (MFS) following approval by the Foreign Investment Review Board and New Zealand's Overseas Investment Office. The transaction was announced on 4 February 2008. MFS received $406 million on completion of the transaction today, with a further $3.2m relating to costs reimbursement to be received within 12 months

City Pacific Limited (CIY) has ended due diligence of certain assets owned or controlled by MFS Limited's financial services business, including the MFS Premium Income Fund - City Pacific CEO Phil Sullivan said the Board of City Pacific has resolved that it will not make an offer for any assets owned by MFS Limited's financial services business

company advises that Fortress Credit Corporation ("Fortress") has agreed to extend MFS' secured loan facility to the earlier of 31 March 2008 or the completion of the sale of 65% of Stella to CVC Asia Pacific - Fortress has also agreed to provide MFS with an additional $50 million in working capital for scheduled operational requirements bringing the total facility limit to $200 million

company confirms that it has received an approach from City Pacific Ltd (ASX: CIY) that could result in an offer to acquire assets within MFS' Financial Services business

company issues a statement clarifying a number of issues

MFS Limited (ASX: MFS) announced today that it had entered into binding agreements in relation to the sale of a 65% shareholding in the Stella Group ("Stella") to funds advised by CVC Asia Pacific ("VC") - MFS will receive cash proceeds of just over $409 million and will retain a 35% shareholding and economic interest in Stella

MFS Limited's wholly-owned subsidiary MFS Investment Holdings No. 3 Pty Ltd (MFSIH3) today announced that it has entered into an agreement to dispose of its interest in the Domain Aged Care Group (Domain Aged Care) - MFS estimates that the profit on the transaction will be in the order of approximately $43.5 million - the final transaction price is subject to certain adjustments - completion of the transaction will also see loans worth approximately $50 million repaid by Domain Aged Care to associated entities of MFS

securities suspended from quotation

name changed from MFS Leveraged Investment Limited

we understand that on or about this date the company undertook, proposed to undertake or was the subject of the following corporate action: - merger - this corporate event may appear elsewhere in this company record