Tinkler to settle insolvent trading case

By a staff reporter

Embattled coal baron Nathan Tinkler is poised to pay $12 million to settle a legal stoush with liquidators for miner Blackwood Corporation. 

Blackwood, the largest creditor of Mr Tinkler's defunct Mulsanne Resources, has been funding liquidators to run a litigation alleging Mr Tinkler and fellow directors breached their duties as company directors and engaged in insolvent trading. Liquidators are pursuing a $28.4 million debt. 

Liquidators Ferrier Hodgsons were alleging Mr Tinkler and fellow directors did not act in the company's best interests by pursuing a $28.4 million share placement agreement with Blackwood. 

In a statement to the Australian Securities Exchange, Blackwood said it would adjourn the case and an application to freeze Mr Tinkler's assets until 30 June while the parties negotiate the settlement.  

Blackwood had sought orders to freeze the assets of Mr Tinkler's wife Rebecca Tinkler and of Oceltip Investments Pty Ltd, the trustee of the Tinkler Family Trust. 

If Mr Tinkler can front the $12 million owed under the share purchase agreement with Blackwood through asset sales by the June deadline, the miner will drop proceedings against the coal baron.