Representatives of a senior creditor for Griffin Coal have confirmed plans to appoint a controller to the Collie miner, but it’s unclear when they’ll act.
Representatives of a senior creditor for Griffin Coal have confirmed plans to appoint a controller to the Collie miner, but it’s unclear when they’ll act.
Last week, Griffin launched an 11th-hour court bid to stop Bluewaters appointing their own controller to run the business, following a disruption to coal supply.
But the stakes were raised late last week, when it became clear Bluewaters would need to compete with another creditor owed $US954 million.
Business News revealed that was likely to be ICICI, who took over the business following the collapse of Lanco Infratech.
During a hearing in the Supreme Court this afternoon, Griffin’s lawyer Konrad de Kerloy pushed for Justice Jennifer Smith to hold off on any decision until next week.
He also asked that Bluewaters’ undertaking not to act be extended.
Mr de Kerloy conceded that the appointment of a controller by the senior creditor, believed to be investment bank ICICI, was imminent; likely to occur in the coming days.
But Bluewaters’ lawyer Joseph Garas told the court that the company had been left without any certainty and pushed for the matter to return to court as planned on Wednesday.
“The difficulty we have is that this company appears to be insolvent, with a liability approaching $US1 billion,” he said.
“My client cannot sit idle.
“The situation hasn’t changed materially since Friday, but now they have made it clear they will act.
“There’s no doubt there will be an appointment.”
Justice Smith adjourned the case until Wednesday afternoon, when she is expected to decide whether it is necessary for Bluewaters to extend their undertaking.
