The Treasury has this morning paid the South Canterbury Finance trustees $1.6 billion in a taxpayer bail-out of the beleaguered company, which has gone into receivership."It has been paid today, it has been paid to the trustee," Treasury spokesm
The Treasury has this morning paid the South Canterbury Finance trustees $1.6 billion in a taxpayer bail-out of the beleaguered company, which has gone into receivership.
"It has been paid today, it has been paid to the trustee," Treasury spokesman Angus Barclay told NZPA.
It is understood the payment will cover all investors as well as some ineligible for payment under the government's Retail Deposit Guarantee Scheme.
The Treasury is thought to have considered a single payment early would avoid the requirement to pay out interest to investors.
Receivers were called i to South Canterbury Finance (SCF) today, with Trustees Executors appointing Kerryn Downey and William Black of McGrathNicol.
SCF said it has been unable to complete a recapitalisation and restructure.
