ASIC halts Angas Securities over Bathla lending failures
ASIC blocked Angas Securities for failing to disclose risks from loans to collapsed developer Bathla Group.
ASIC has blocked Adelaide private credit firm Angas Securities. The firm can't offer or sell shares in two of its funds.
The watchdog said Angas didn't properly tell investors how much financial risk they faced from loans to Bathla Group, one of Sydney's biggest developers. Bathla Group collapsed in late August.
It owed $3.4 billion to creditors. The government refused to give it money.
Bathla laid off more than 200 staff and stopped building work. ASIC is looking into the wider effects of the collapse.
The regulator will decide whether to issue lasting stop orders. It will do this after Angas responds.
- $3.4 billion to creditors
- Bathla's total debt
- More than 200
- Bathla staff laid off
- $130 million to unsecured lenders
- Largest unsecured loan category
- Simone Constant
- ASIC Commissioner
Why it mattersIt shows how the private credit industry can hide risks from everyday mum-and-dad investors. Now regulators are taking action.
AustraliaAustralians who invested in private credit funds may face losses or frozen funds as regulators work through Bathla's collapse and its effects on lenders.
✓ Claims checked against the source. checked 15 h ago
