A class action has been launched today in the Federal Court of Australia on behalf of any person who bought shares in troubled sandalwood plantation company Quintis Limited.
The company is now in receivership and a number of Katherine employees have already been made redundant.
Quintis owns and operates a number of plantations in the Katherine area.
Quintis has continued to operate on a business as usual basis since the receivers’ appointment.
The class action will involve anyone who owned Quintis shares between between August 31, 2015 and May 15, 2017.
The class action is against three Respondents: Quintis; Frank Wilson (who was one of the directors of Quintis at the relevant time) and Ernst & Young (EY) (who were the auditors of Quintis at the relevant time).
Lawyers for the lead plaintiff and class members are Piper Alderman and the action is funded by the ASX listed litigation funder Litigation Capital Management Ltd (ASX:LCA) (LCM).
The case alleges that in both 2015 and 2016, the Financial Reports issued by Quintis did not give a true and fair view of the financial position and performance of Quintis.
Rather, those Financial Reports significantly over-stated the value of Quintis’ assets and the amount of Quintis’ profits in those years, it has been alleged.
This is the third class action to be brought against Quintis (which was placed in voluntary administration on January 20).
Shareholders who did buy Quintis shares in this period and suffered losses as a result can register their interest at http://pipald.info/QIN
Sign up for our newsletter to stay up to date.