Storm Financial legal action takes shape
The first Storm Financial legal action will be in the courts before the end of next month, Slater and Gordon practice group leader Damien Scatinni said.
“We expect the first cases to be before the courts before the end of June,” he told Money Management.
“We need a couple of more weeks to finalise some details, but everything should be ready by the end of the financial year.”
Unlike traditional class actions where all aggrieved parties are included in one class action, in Storm’s case every investor is different.
This has meant the lawyers are producing individual cases that will probably be heard in one hearing.
Scatinni said a class action was not appropriate for Storm clients and he denied suggestions the firm was having difficulties putting the individual cases together.
“There have been no difficulties in putting the individual cases together,” he said.
“We always knew one-size-fits-all was not going to work in this situation.
“But we'll have no difficulty in getting these individual cases to court.”
It is expected more than 200 investors will be taking action against various parties such as the Commonwealth Bank and Storm Financial.
Recommended for you
With the final tally for FY25 now confirmed, how many advisers left during the financial year and how does it compare to the previous year?
HUB24 has appointed Matt Willis from Vanguard as an executive general manager of platform growth to strengthen the platform’s relationships with industry stakeholders.
Investment manager Drummond Capital Partners has announced a raft of adviser-focused updates, including a practice growth division, relaunched manager research capabilities, and a passive model portfolio suite.
When it comes to M&A activity, the share of financial buyers such as private equity firms in Australia fell from 67 per cent to 12 per cent in the last financial year.
