Hotchin sues Shareholders' Association
The Shareholders' Association says it will vigorously defend defamation proceedings issued against it by Hanover Finance founders Mark Hotchin and Eric Watson.
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The Shareholder's Association says it will vigorously defend defamation proceedings issued against it by Hanover Finance founders Mark Hotchin and Eric Watson.
The association has confirmed it has been named as a second defendant in the proceedings and says the claim relates to media interviews conducted in 2009.
That was when Bruce Sheppard was chairman of the shareholder watchdog.
"The association does not intend to make further comment on the claim itself as the matter is before the courts," current chairman John Hawkins said in a statement.
"The association however will vigorously defend the claim which it sees as completely without merit."
Mr Hotchin is also suing New Zealand Herald publisher APN and business commentator and fund manager Brian Gaynor for defamation.
Hanover Finance and sister company United Finance froze more than $550 million of investor funds in 2008, before offloading their loan books to Allied Farmers in a debt for equity swap in December 2009.
The value of the assets has since slumped to less than $100 million from the near $400 million ascribed at the time of the Allied transaction.
Allied Farmers recently settled a dispute over a $5 million payment it withheld from Hanover and withdrawn allegations leveled against the former finance company.
NBR staff
Tue, 13 Dec 2011
Tue, 13 Dec 2011
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Hotchin sues Shareholders' Association
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