MFS founder ready to be grilled by the liquidator

According to a leading newspaper, Phil Adams, founder of MFS, is all set to face the questions from a liquidator by this week, regarding his role in tumbling the Gold Coast financial group.

However, Mr Adams is yet to come back from Dubai to publicly bear the creditors of the company for the very first time, since the inception of the collapse of multi-billion dollar empire in 2008.

The liquidator, Kate Barnet, from Bentleys Corporate Recovery, is all geared up to grill Mr Adams in the New South Wales Supreme Court on coming Friday, although he was not entailed in the Australian Securities and Investments Commission case, which was against the former MFS director and the executives in the Queensland Supreme Court. Such cases, involves MFS co-founder Michael King, centre of the loan transfers.

Mr Adams was overseas when the MFS allegedly used a $100 million loan, which is meant for the Premium Income Fund to pay back the debt to another lender.

However, creditors to the company have been left short by $2.5 billion out of the collapse which was known to have $1 billion on the basis of intercompany loans.