If you are a current or former client of StockCo Pty Ltd, StockCo AgriCapital Pty Limited or StockCo Feedlot Capital Pty Ltd, you should read this:
Have you been impacted by StockCo giving you a facility for up to 100% of the cost of buying livestock for finishing, expecting to receive a profit or “grazing payment” – only to be left with a significant debt to StockCo?
Did StockCo offer you finance to purchase livestock even when banks and second-tier lenders wouldn’t do so?
Did StockCo provide you with a facility for 100% of the purchase price of livestock – livestock that StockCo, not you the producer, would own – while telling you that you would stand to make all the profit on “fattening” the livestock for sale, less StockCo’s outlays for the purchase price and the finance costs?
As you know, you were responsible for agisting the livestock, paying for feed and veterinary bills. Despite owning the livestock, StockCo would not contribute to these expenses, nor would these expenses be taken into account when estimating your “profit” or “grazing payment”.
Once the livestock was sold, StockCo would deduct all of StockCo’s costs, interest charges and fees, including a 9.75% pa Finance Rate compounding monthly (1) – meaning that you were paying interest on interest.
You would also solely bear the loss if any sheep or cattle died – including through flood, drought or disease – which could mean being charged interest at the Default Rate, accruing and compounding monthly (paying interest on interest) at 18% pa, unless, scouring through StockCo’s suite of documents, you could find some other rate nominated as the Default Rate, which might or might not be there (2).
Did StockCo lead you to believe you that they only take direct security over the livestock, which they own, in any event – with you later discovering that StockCo had lodged a caveat over your home and real property? This could occur not just if you were “in default” but also, because StockCo thought that the market might fall for cattle or sheep (3).
Did StockCo assure you that they understood farming and that they would be sensitive to agricultural cycles, including the breeding season? Even so, were you forced to sell livestock at a bad time? Were you concerned at StockCo’s stock selections, with no or no reliable certification of the weight of the animals on delivery?
What happened to StockCo’s assurances that your bank would be happy that you had taken up a livestock facility from StockCo? When your bank found out about the caveat and your additional debt, was your bank impressed, as you had been led to believe that it would be?
You had never heard of margin lending before and it would never have occurred to you to go to your bank to mortgage your house or farm to get money to buy shares and borrow against them, betting on rises and falls on the ASX. That would have seemed too risky to you. Did you understand that you were betting the farm on being able to fatten and sell StockCo’s cattle for the right price and still make a profit, even after clearing all of the agistment, interest and finance costs?
For all these reasons, we are investigating potential claims involving StockCo Group Australia and would be pleased to hear from you about your experiences on an obligation-free and confidential basis.
FEAR NOT
Even if you have signed a release, your company is in liquidation or you have been made bankrupt, you should still contact us. We can probably still help you.
If you feel dissatisfied or damaged from your dealings with StockCo, we encourage you to contact Levitt Robinson in Sydney at slevitt@levittrobinson.com or Finance Dispute Legal in Brisbane at callunblurton@fdlegal.com.au.
(When emailing, please leave a contact telephone number).
At Levitt Robinson, please feel free to call Asher Paris, Solicitor on (02) 9286 3133
At Finance Dispute Legal, call Callun Blurton, Associate Director, on 1300 433 533
If you are a current or former client of StockCo Pty Ltd, StockCo AgriCapital Pty Limited or StockCo Feedlot Capital Pty Ltd, you should read this:
Have you been impacted by StockCo giving you a facility for up to 100% of the cost of buying livestock for finishing, expecting to receive a profit or “grazing payment” – only to be left with a significant debt to StockCo?
Did StockCo offer you finance to purchase livestock even when banks and second-tier lenders wouldn’t do so?
Did StockCo provide you with a facility for 100% of the purchase price of livestock – livestock that StockCo, not you the producer, would own – while telling you that you would stand to make all the profit on “fattening” the livestock for sale, less StockCo’s outlays for the purchase price and the finance costs?
As you know, you were responsible for agisting the livestock, paying for feed and veterinary bills. Despite owning the livestock, StockCo would not contribute to these expenses, nor would these expenses be taken into account when estimating your “profit” or “grazing payment”.
Once the livestock was sold, StockCo would deduct all of StockCo’s costs, interest charges and fees, including a 9.75% pa Finance Rate compounding monthly (1) – meaning that you were paying interest on interest.
You would also solely bear the loss if any sheep or cattle died – including through flood, drought or disease – which could mean being charged interest at the Default Rate, accruing and compounding monthly (paying interest on interest) at 18% pa, unless, scouring through StockCo’s suite of documents, you could find some other rate nominated as the Default Rate, which might or might not be there (2).
Did StockCo lead you to believe you that they only take direct security over the livestock, which they own, in any event – with you later discovering that StockCo had lodged a caveat over your home and real property? This could occur not just if you were “in default” but also, because StockCo thought that the market might fall for cattle or sheep (3).
Did StockCo assure you that they understood farming and that they would be sensitive to agricultural cycles, including the breeding season? Even so, were you forced to sell livestock at a bad time? Were you concerned at StockCo’s stock selections, with no or no reliable certification of the weight of the animals on delivery?
What happened to StockCo’s assurances that your bank would be happy that you had taken up a livestock facility from StockCo? When your bank found out about the caveat and your additional debt, was your bank impressed, as you had been led to believe that it would be?
You had never heard of margin lending before and it would never have occurred to you to go to your bank to mortgage your house or farm to get money to buy shares and borrow against them, betting on rises and falls on the ASX. That would have seemed too risky to you. Did you understand that you were betting the farm on being able to fatten and sell StockCo’s cattle for the right price and still make a profit, even after clearing all of the agistment, interest and finance costs?
For all these reasons, we are investigating potential claims involving StockCo Group Australia and would be pleased to hear from you about your experiences on an obligation-free and confidential basis.
FEAR NOT
Even if you have signed a release, your company is in liquidation or you have been made bankrupt, you should still contact us. We can probably still help you.
If you feel dissatisfied or damaged from your dealings with StockCo, we encourage you to contact Levitt Robinson in Sydney at slevitt@levittrobinson.com or Finance Dispute Legal in Brisbane at callunblurton@fdlegal.com.au.
(When emailing, please leave a contact telephone number).
At Levitt Robinson, please feel free to call Asher Paris, Solicitor on (02) 9286 3133
At Finance Dispute Legal, call Callun Blurton, Associate Director, on 1300 433 533
