OneVue has foreshadowed legal action against the directors of Sargon as it seeks to assert its rights following the collapse of the company.
In an announcement released to the Australian Securities Exchange (ASX), OneVue confirmed the likelihood that the sale of the Madison Financial Group will be completed by the end of the month, that it has an unpaid vendors lien over the shares in both Diversa and CCSL Trustees, which it sold to Sargon, and that it will consider pursuing legal action against Sargon’s current and former directors.
OneVue also referenced a Voluntary Administrators report which stated that if Sargon Capital was wound up, the liquidators would have the potential to pursue insolvent trading claims against Sargon’s directors and officers, and potential voidable transaction and unfair preference claims.
“Those claims may result in returns to unsecured creditors, however, OneVue’s primary course of action has been to recover the amounts owed to it at the subsidiaries’ level, first with the sale of its secured assets, and secondly with the enforcement of the lien over the previously owned Trustee Services Business businesses,” it said.
“OneVue advises that if the recoveries at the subsidiaries’ level are insufficient it will also consider pursuing its own claims against Sargon’s current and former directors and officers arising from the sale of the Trustee Business businesses.”