Around 2,100 investors in the 1990's finance broking scandal have received a share of $26.6 million from a compensation fund established in February 2007 over the weekend.
The full text of an announcement from consumer protection minister Sheila McHale is pasted below
A total of 2,100 investors in the 1990s finance broking scandal will from today receive their share of a $26.6million compensation fund established by the State Government in February 2007.
Consumer Protection Minister Sheila McHale said the payments brought an end to the sorry saga in which victims, mostly elderly investors, lost their savings in dodgy schemes set up by unscrupulous finance brokers during the 1990s.
"The Carpenter Government has been committed to assisting the many victims who lost money in the finance brokers scandal and to ensuring that such disgraceful events are not repeated," Ms McHale said.
"I am pleased to announce that the task of determining eligibility for compensation has been completed. Successful claimants will now receive their share of the compensation fund."
About 2,800 cheques would be distributed this week with some victims successfully lodging multiple claims. The amounts of compensation ranged from $1,000 up to almost $500,000.
"I sincerely hope that this will provide a way for all victims of the finance brokers saga to get closure on what has been a harrowing time, personally and financially, as a result of the unscrupulous practices of certain finance brokers under the watch of the previous Liberal Government," the Minister said.
"Since its election in 2001, the State Government has acted on the lessons learned from the finance brokers scandal by introducing measures in Western Australia that lead the nation in protecting people who use licensed finance brokers."
