Melbourne law firm Slater and Gordon proposes to launch a class action against milk processor Murray Goulburn on behalf of unit trust holders.
Shareholder suppliers voted on Thursday to sell the company to Saputo. The action claims the company misled unit holders with its profit forecasts prior to the profit downgrade and the 2016 milk price crash.
Slater and Gordon and litigation funder IMF Bentham Ltd opened registrations for a class action last week. Slater and Gordon Senior Associate Andrew Paull said registrations for unitholders would be open until May 18, with formal proceedings expected after that date.
‘‘Thorough analysis of the recent ACCC and ASIC inquiries into Murray Goulburn have strengthened our initial findings that suggest the company misled the market by forecasting profits it could never have achieved in the 2016 financial year,’’ Mr Paull said.
‘‘We have identified significant inconsistencies between Murray Goulburn’s statements to the market regarding its likely revenue and profits that year and the information available to the company’s management internally.’’
A response was not available from Murray Goulburn at the time of going to press.