Litigators acting on behalf of Great Southern investors have refuted claims made by Bendigo and Adelaide Bank (BAAB) that their class actions are in doubt.
In a statement released on Friday, BAAB said DC Legal's class action has fallen over, while Macpherson + Kelley's (M+K) action had been weakened after being struck out in the courts last week.
DC Legal solicitor Bruce Dennis denied claims its actions had fallen over, stating the firm has discontinued part of its class action but not all.
He said the firm decided to withdraw the action after investigations found loans linked to clients had been handed over to Great Southern Finance and no longer resided in the banking group.
"Our intention is to refile the claim with someone who has a loan directly with Bendigo and Adelaide Bank," Dennis said.
"We didn't know that at the time because the way they securitised loans, they securitised them in bulk but then because this particular loan was in default before the administrators and liquidators were appointed, pursuant to the agreement ones that were in default were handed back from Bendigo and Adelaide Bank to Great Southern Finance.
"As soon as we were told that we agreed to withdraw the claim against Bendigo and Adelaide Bank on behalf of [lead applicant] Cutforth Pty Limited."
He said Cutforth are still running a claim against the directors, but a different lead applicant will have to file in relation to Bendigo and Adelaide Bank.
M+K principal Ron Willemsen said the company's litigation is "very far from dead and buried".
"The fact they are keen to chop them off at the knees and not take any part in the case, they challenged a few paragraphs in the statement of claim ... and in the end the judge did a couple of days ago say the claim ought to be represented with further detail. He gave permission to us to submit a substitute statement and claim with extra details," he said.
Willemsen said a court order made in a Melbourne court on Friday has given the investors until 23 November to deliver the amended claim.
"We will be doing that. Bendigo Bank has remained a party to the case - that was never otherwise. We will be filing the amended claim by 23 November. The claim is alive and well," he said.
The M+K case is expected to return to court on 7 December.
