Wang creditors' meeting delayed

May Wang. Photo/supplied

Creditors in May Wang's failed property development company have asked for more time to consider whether a proposal to repay them 2c in the dollar is "as good as it gets".

The Chinese businesswoman, who is fronting a $1.5 billion bid to buy up New Zealand dairy farms, was due to face creditors in her failed Dynasty Group in Auckland today with a proposal she hoped would stave off bankruptcy.

Wang has offered creditors just $500,000 to settle a $22 million debt, which equates to about 2c in the dollar.

Almost half of the debt is owed to Dominion Finance, which itself owes investors $224 million after being placed in receivership in 2008.

Another creditor Westpac has applied to the Auckland High Court to bankrupt Wang over a debt of $620,000.

Wang said her creditors would receive little, if anything if she were made bankrupt.

Wang's lawyer Paul Sills said the decision had been made to postpone the meeting to next week allow creditors more time to ask questions of their debtor.

"A lot of the secured creditors need a lot of things ticked off to make sure they satisfy themselves that this is as good as it gets," he said.

Sills said creditors were particularly interested in plans by UBNZ, a company which Wang is fronting, to spend $1.5 billion to acquire New Zealand dairy farms, including the Crafar farms.

"There has been so much press about it. It obviously raises everyone's curiosity and they (the creditors) want to be happy in their own minds that they are distinctly separate issues," he said.

Associate Judge Jeremy Doogue last week adjourned Westpac's application to bankrupt Wang in the Auckland High Court, to give creditors time to vote on her proposal.

She is due back in court on June 29.

- NZ Herald Online