Diversified non-bank lender Financial Resources Ltd has recouped an 8.2 per cent share holding in the company from one of its substantial shareholders, Michael van Rens, after he defaulted on several loans from the company’s wholly owned subsidiary, FRL (
Diversified non-bank lender Financial Resources Ltd has recouped an 8.2 per cent share holding in the company from one of its substantial shareholders, Michael van Rens, after he defaulted on several loans from the company’s wholly owned subsidiary, FRL (WA) Ltd.
Mr van Rens was a listed shareholder in Financial Resources from its inception, with shares held in associated companies Alster Pty Ltd and Michael van Rens Financial Services Pty Ltd.
Mr van Rens' interest in Financial Resources at November 29 was 5.5 million ordinary shares, or 8.2 per cent of the overall shares, and 3.4 million options, as well as a 25 per cent interest in Financial Resources shares owned by Weststyle Nominees Pty Ltd.
In 2001, Mr van Rens borrowed an undisclosed amount of money from FRL (WA) Ltd under several loan agreements.
The company took security over assets belonging to Mr van Rens including two properties, one of which was a residential property owned by Mr van Rens and his wife.
In November last year, following a period whereby Financial Resources unsuccessfully pursued repayment of the loans plus accrued interest, the company sought to recover the loans by appointing a receiver and manager over Mr van Rens’ assets as security for the loans.
On January 9, the company announced a settlement with Mr van Rens, consisting of a cash payment plus control of Mr van Ren’s shares and options in Financial Resources.
Financial Resources company secretary Ray Andersen told WA Business News that the shares previously held by Mr van Rens had not been traded on the stock market and were being held by FRL (WA) Ltd, while the group had not yet determined whether the shares would be traded.
The receiver appointed by Financial Resources was removed following the cash settlement and transfer of shares.
Meanwhile, Financial Resources founder Barry Samuels resigned from the position of chief executive with the company, effective November 30, and subsequently resigned as a director of Financial Resources and its subsidiaries on January 2.
Company secretary Ray Andersen said Mr Samuels resigned due to ill health during 2006.
According to the Australian Prudential Regulation Authority, life insurance agent Mr van Rens was disqualified from acting as a superannuation trustee, investment manager or custodian of a superannuation entity in August 2004, under section 120 of the Superannuation Industry (Supervision) Act 1993, following an investigation into the affairs of the Strategic Capital Superannuation Fund, of which Mr van Rens was a trustee.
The APRA investigation resulted in the replacement of the former trustees in April 2003 and the appointment of Deloitte Management Pty Ltd as acting trustee, on the grounds that the conduct of the former trustees may have placed the fund in an unsatisfactory financial position.
Mr van Rens is currently a non-executive director of Queste Communications Ltd and a former director of Yilgarn Gold Ltd, among others.
