Members of the Timbercorp creditors committee remain committed to installing a replacement responsible entity, despite administrator KordaMentha's recommendation that the companies within the group be wound up.
"If the wider company is wound up it doesn't change our stance that you need to get the projects under another independent responsible entity (RE)," Garnaut Private Client Advisers head of research Chris Rylands said.
"The clients need to have an independent entity to have their interest represented."
Committee member Neil White raised concerns that KordaMentha had not been thorough in its analysis of the ailing agribusiness company.
"We feel that it is imperative that at the least an initial temporary RE with agriculture expertise be appointed to independently analyse the projects and to demonstrate to growers that a thorough analysis has been provided and a choice of options such as recapitalisation to continue or discontinue is considered," White said.
Committee members have set up an action group, Advisers Accountants Growers Interests (AAGRI), that has launched a fighting fund to help raise money for any court action with the administrators.
Last week KordaMentha released a report ahead of the second creditors meeting to be held later this month.
The report recommended it was in the creditors' interest that each company in the Timbercorp group be wound up.
"The group has little to no cash to enable a restructure or maintain operations on a going concern basis, including supporting the managed investment schemes," according to the report.
"No DOCA (deed of company arrangement) has been proposed and it is not in creditors' interests to bring the administration to an end."
KordaMentha said it was not in a position to comment on the estimated return to creditors from the winding up of the companies within the group.
Rylands said he wasn't surprised that the administrators were looking to wind the company up.
"That was always going to be the case, but our immediate plans are to meet with each of the groups to make a decision over who is going to put their hands up to go in there as the voluntary or temporary RE," Hylands said.
Gunns Limited, Huntley's Management and Primary Securities are among the potential REs.
A directions hearing in the Supreme Court in Melboune will continue on 15 July.
The second meeting of creditors will also be held in Melbourne on 29 June.
