Bankrupt former Bridgecorp managing director Rod Petricievic is fighting a caveat preventing him from selling his Remuera mansion.Proceedings began at the High Court in Auckland this morning in which the liquidators of Navigator Finance are seeking to rec
Bankrupt former Bridgecorp managing director Rod Petricievic is fighting a caveat preventing him from selling his Remuera mansion.
Proceedings began at the High Court in Auckland this morning in which the liquidators of Navigator Finance are seeking to recover an unsecured advance of $2.2 million made to the Petricevic Family Trust.
The loan was not repaid before Navigator Finance, a finance company of which Mr Petricievic was a shareholder and director, was tipped into liquidation in early June.
A caveat, preventing the sale of property, was swiftly placed on Mr Petricievic’s 253 Remuera Rd home on June 21.
Mr Petricievic’s lawyer, Bruce Stewart QC, said the caveat was “strangling the trust” and it had no ability to fund the litigation at this stage.
In the High Court this morning, the liquidators of Navigator Finance applied for a summary judgement against Mr Petricevic and his wife Mary, the directors of the company.
The judgment of associate judge John Faire is due this evening.
A trial is set down for February 28.
Associate judge John Faire said the key issue was the ability of the trust to pay the debt, as opposed to the trust property itself.
Murray Tingey, representing Navigator Finance, said although there was a caveat against the property, liquidators had no information about the value of the property.
Information about Mr Petricevic’s financial situation was also sparse, he said.
“There is no certainty the trust is solvent,” he said.
The primary known assets of the Petricevic Family Trust was loan advanced from Navigator Finance and the Remuera Rd property itself.
Mr Petricevic has been charged by the Serious Fraud Office and the Securities Commission after Bridgecorp collapsed owing investors more than $450 million.
