KordaMentha has been ousted as the responsible entity (RE) of Timbercorp's mango and avocado schemes after a unanimous vote at a meeting of investors in Melbourne yesterday.
Eight hundred and twenty-seven votes in the 2005 mango scheme, 665 votes in the 2006 mango scheme and 1451 votes in the 2007 avocado and fruit scheme voted for a change in RE.
Huntley Management will now take over as the temporary RE of the schemes and begin assessments of the project's viability.
"The temporary RE is going to work with fund managers to gather information and report back to growers about their future," Garnaut Private Client Advisers head of research Chris Rylands said.
Chris Garnaut of Garnaut Private Client Advisers is a member of the investor lobby group and represented clients involved in the schemes at yesterday's meeting.
"Under the past arrangement the schemes were going to be wound up, but now there is at least a possibility of investors getting something," Rylands said.
KordaMentha said it would conduct an orderly handover.
"Huntley have stated that they will review the project once they have been appointed to determine its viability and whether or not the purpose of the project may still be accomplished or not," a KordaMentha spokesperson said.
"The administrators provided Huntley with the opportunity to access information prior to the meeting."
Rylands expects Huntley Management to consider taking over other Timbercorp schemes.
"They are in the process of looking at the almond and olives projects," Rylands said.
KordaMentha said it would continue to consider any other proposals by third parties to take over the role of RE for other schemes.
