Whangarei couple Judy and Bruce Bartle have beaten back despair and shock over losses from the collapse of investment company Blue Chip to tell their story in the High Court in Auckland. The Bartles said that last year they were "almost paralysed with shock" after learning they owed $622,000 to BlueChip financiers Tasman Mortgages but taking action had helped pull them out of despair. Their claim - mounted by Auckland lawyer Paul Dale - targets GE Finance subsidiary GE Custodians, which lent them the money to invest in Blue Chip; mortgage broker Tasman Mortgages, which arranged the loans; and a Whangarei lawyer, Jonathan Mathias. The Bartles are claiming that GE approved the loans because Tasman Mortgages changed their employment status on the application form from "retired" to "self-employed" and removed their income details. Judy and Bruce Bartle are the first Blue Chip victims to go to court, with their case starting on Monday. The prosecution is being seen as a test case for many other investors who, like the Whangarei couple, have sustained losses that mean they may lose their homes. Mr Dale, who is acting for several other Blue Chip crash victims in Northland and about 350 nationwide, said yesterday neither he nor the Bartles could comment about the case while it was being heard but that "we are optimistic". Last year the Bartles said that when they retired five years previously they had a mortgage-free house but were cash-poor. Looking for a modest income stream, the couple signed up for a Blue Chip "Joint Venture", which involved buying into a central Auckland apartment. They were later shocked to learn that Blue Chip had borrowed many thousands more than the amount authorised in the original agreement, using their house as equity. They had contacted Paul Dale after Tasman Mortgages told them they now owed over $622,000 and threatened the forced sale of their house if they did not pay monthly repayments of $6000.
