News

CHCC socks it to Lehman Brothers

New Coffs mayor Denise Knight couldn't have wished for a better start to her tenure than council's class action victory.
New Coffs mayor Denise Knight couldn't have wished for a better start to her tenure than council's class action victory. Rob Wright

COFFS Harbour City Council is one of 52 councils to benefit from the successful Federal Court class action in the wake of the global financial crisis.

Lehman Brothers Australia, formerly known as Grange Securities, was yesterday ordered to compensate the councils and 20 other charitable institutions and church groups who were misled into making high risk investments.

The losses in Australia since 2008 are estimated to exceed $1 billion.

The compensation, expected to be in the hundreds of millions of dollars, will be announced before the end of the year.

From 2007, Coffs Harbour City Council put funds into collateralised debt obligations (CDOs) but the investments turned sour as the economic uncertainty caused by the US and Eurozone crisis spread across the globe.

It's believed Coffs Harbour lost at least $8.8 million.

Documents produced last July showed the council held $4.7 million in CDOs which had mostly defaulted, leaving a residual value of $892,308.

In handing down his judgement, Justice Steven Rares made a scathing assessment of the business practises of Lehman Brothers' Australian arm.

"Grange was conscious that the trust its uninformed council clients placed in it was being used to Grange's advantage," he said.

"For these reasons Grange is liable to compensate the councils for the losses incurred as a result of the investments."



Prime Minister, Cowper still seeks the answers

Cowper MP Luke Hartsuyker with Prime Minister Malcolm Turnbull during last year's election in Lismore.

Cowper constituents call for PM to answer the big issues

Roos prevail in a close finish

The Sydney Swans and North Melbourne fly for a mark at the C.ex Coffs International Stadium. Photo: Brad Greenshields/Coffs Coast Advocate

Kangaroos hold on to win by two points against the Sydney Swans.

Sea Eagles fly high in Nines

Final Hoey Moey Tooheys Coffs Coast Nines 18 February 2017 Geoff King Motors Park. Photo: Brad Greenshields/Coffs Coast Advocate

Macksville scores late to claim Coffs Coast Nines final over Port.

Local Partners

Deadly dog virus outbreak strikes South Grafton

"If your dog lives on one of those streets, I'd almost guarantee they will contract parvo virus if they are not vaccinated."


Jackass crew eye off the Big Banana

WILD SHOW: The Jackass crew  a promise a wild Coffs Harbour show.

Iconic Coffs landmark grabs Jackass crew's attention

Make a Jackass of yourself live on stage

Jackass's Jason 'Wee Man' Acuna on stage during the crew's Fillthy Seppo Tour of Ausralia. The mayhem arrives at the Coffs Harbour on February 23.

Jackass team head to Coffs to wreak havoc

Sizzling Bookfest bargains

CHOCKERS: Lester Platts and Chris Ryland, Coffs Harbour South Rotary preparing for Bookfest April 1-8.

80,000 book will hit the Bookfest tables in April

Why Hollywood’s siding with Brad Pitt over Angelina Jolie

TOWARD the end of last month’s Golden Globes ceremony, the producer of the nominated drama Moonlight made a surprise onstage appearance: Brad Pitt.

Tensions high at pointy end of MKR's round two

Things are really heating up on My Kitchen Rules.

Games are being played around the My Kitchen Rules table

Jungle Jay sent packing from I'm a Celebrity

I'm A Celebrity ... Get Me Out Here! contestant Jay Laga'aia with Keira.

BIG friendly giant Jay Laga'aia has been eliminated from I'm A Celeb

Carson Kressley brings 'camp' to I'm a Celebrity jungle

"I am not all Park Avenue and daffodils” ... Carson Kressley.

Meet the "campest” campmate to star on I'm a Celebrity.

Jackass crew eye off the Big Banana

WILD SHOW: The Jackass crew  a promise a wild Coffs Harbour show.

Iconic Coffs landmark grabs Jackass crew's attention

Star Wars: The Last Jedi mystery already solved

FILE- This undated file photo provided by Disney shows Daisey Ridley as Rey, left, and John Boyega as Finn, in a scene from the film, \"Star Wars: The Force Awakens.\" Hasbro said it is changing its Star Wars Monopoly set after an 8-year-old girl became upset that Rey, the movie's female heroine, was not included as a figure along with Darth Vader and Kylo Ren. (Disney/Lucasfilm via AP, File) MANDATORY CREDIT

A key mystery surrounding the title of episode eight has been solved

Kids' game "full of f**king paedophiles" according to dad

A mortified dad has expressed serious concerns over an online game

Potential home buyers punished for doing the 'right thing'

Should I go to university or buy a house?

Bidding could start at $1.4M for sought after property

Farrell McCrohon's Jojo Newby rides on a property recently listed at Buccarumbi

One of largest rural properties on market to go under hammer today

An exclusive private retreat

STUNNING: This North Sapphire Beach home is the ultimate in beach-side living.

An exclusive home in an exclusive address

What $11.9m can get you on Coast's most exclusive street

29-31 Wyuna Drive Noosaville Qld 4566

This is what a cool $11.9m can get you

How a first home buyer built house with no deposit

NEARLY THERE: Construction on the first house to home orphans at Umoja began in January.



Photo Contributed

His home will be completed later this year.

Ready to SELL your property?

Post Your Ad Here!