The below Q & A was originally posted in The Australian
Q In 2006 I invested in a Timbercorp Almond Plantation at the recommendation of my Financial Planner. Timbercorp went broke and I want to know what the likelihood is of getting any money back and when.
A Timbercorp was one of the largest providers of Managed Investment Schemes during the 1990 and 2000s investing in Agribusiness. The investments available ranged from Bluegum Plantations to Olives, Almonds and other horticultural projects. Agribusiness schemes were attractive to investors and Financial Planners for a number of reasons not limited to just the tax benefits. Timbercorp was placed into Liquidation in 2009.
Regrettably Timbercorp and a number of other high profile collapses have seen investors lose their investments with little hope of getting a return commensurate with their investment. The investment you refer to was liquidated by Creditors and the land and trees were sold to Olam International Group for $128m in 2009. The proceeds of the sale have been held in trust since then.
Apportionment of proceeds to growers and creditors has been delayed pending various appeals. A number of Class actions were brought against the former Timbercorp directors and Responsible entity for non-disclosure in relation to solvency of the business and the viability of the projects. All which essentially have delayed resolution of what investors will get.
For further information on the status of your investments and copies of the court judgements to date, visit www.kordamentha.com .