IMF collects $5m from Centaur case

Litigation funder IMF (Australia) will pocket some $5 million following an unconditional settlement of a claim against certain directors of Centaur Mining, which formerly owned the Cawse nickel operation in the Goldfields.

Centaur was placed into liquidation in August 2002, and liquidators were claiming in the Federal Court that three directors, including mining identity Joe Gutnick, had breached their obligations to prevent insolvent trading.

IMF today said that it expects to receive revenue of some $6.6 million and to generate a profit of around $5 million before tax from this case.

The company said it expects to receive payment before the end of the month.

Centaur had previously owned the Cawse nickel operation, which is speculated to be the subject of talks between current owner Norilsk Nickel and possible new owner Poseidon Nickel.

Shares in IMF were up 1.5 cents to $1.06 at 13:22 AEDT.