Erceg stays away as creditors fight over boat hulls

Ivan Erceg has been out of the country for over a year. Photo / Doug Sherring

Embattled boat builder Ivan Erceg is not expected to return to New Zealand when two of his creditors go to court over his collapsed company Sensation Yachts.

HSBC and Russian-owned company Balenia will fight it out in the High Court at Auckland in November.

HSBC is trying to force Balenia to move several 100-tonne unfinished hulls from Erceg's former boatyard in Henderson, Auckland. Balenia refuses.

Erceg is believed to be in the south of France but not even Sensation Yachts' receivers or his lawyers know his exact whereabouts.

He's been living outside New Zealand for over a year: during this time he has been bankrupted, his company Sensation Yachts has been placed into liquidation and his creditors are at war over deserted chattels left rusting on his former property.

He is the younger brother of alcohol baron Michael Erceg who died in a helicopter crash in the Waikato in 2005.

HSBC lawyer James Burt said Ivan Erceg was not expected to return for the trial, as this was a civil case and he would not likely be called by either the plaintiff or the defence.

HSBC wants the chattels, including three incomplete boat hulls owned by Balenia, removed so it can sell the property and recoup its $6.5 million investment.

Balenia paid Erceg $100 million to build five super yachts to be completed by 2007.

Construction began on three but the boats were never completed and the unfinished hulls are sitting in the water in West Auckland.

Erceg owes Balenia more than $3 million. He also owes Dorchester Finance $5 million, Public Trust $1.4 million, Lynne Erceg $690,000, Allied Nationwide Finance $133,000, law firm Bell Gully $43,000 and Mercedes Benz Financial Services $25,000.

Court documents also show Erceg owes his mother, Millie Erceg, money but how much is not disclosed.