Court orders Coe to hand over papers linked to Allco's former leasing arm

DAVID COE, the former chairman of the collapsed Allco Finance Group, will be asked to hand over documents that relate to a dispute about who controls the group's aviation leasing arm now that it has been sold.

By InvestSMART · 14 Jun 2010

By InvestSMART ·
14 Jun 2010

The new owner of the business, China's state-owned HNA group, is battling to stop two men, Allco's former head of aviation, David Veal, and Geoffrey Kinghorn, the son of the Allco Finance founder John Kinghorn, from exerting control of the business through special purpose subsidiaries that are associated with it.

The Federal Court ordered on Friday that subpoenas be issued to Mr Coe, his company Monetti Pty Ltd, and several other companies.

HNA plans to argue that the business is being run in a manner oppressive to it. Customers of the leasing business include Qantas, Emirates and Singapore Airlines.

Documents sought in the case are expected to help the court determine the value of its ordinary and preference shares.

The matter is due to return to the Federal Court in Sydney on June 25.

Separate to the dispute, Mr Coe is making a return to the aviation leasing game, through an investment in a separate aircraft leasing business, Global Aviation Asset Management.