Blue Chip action suspended
Legal action against directors and auditors of collapsed property scheme the Blue Chip Group appears unlikely to proceed after being indefinitely suspended.
Blue Chip liquidators Meltzer Mason Health said a lack of litigation funding led to the lawsuit filed a year ago being suspended.
Liquidator Jeff Meltzer said the move was disappointing, but secured funding of $2.5 million was needed to progress the case through to a High Court hearing.
A claim was filed by the liquidators in January 2012 against Blue Chip directors - including former cabinet ministers Wyatt Creech and John Luxton, and scheme founder Mark Bryers - seeking $40m.
Blue Chip collapsed in February 2008 owing an estimated $80m.