Hanover Finance and United Finance froze $554 million of assets in 2008, affecting 13,000 investors.
Mark Hotchin, with Hanover co-founder Eric Watson, took $91 million in dividends before the collapse but Hotchin says they put back into the company much more than that.
Investors agreed to a moratorium but were later told payments would not be honoured.
They were presented with a debt-for-equity deal in December 2009 in which they got Allied Farmers' shares (now trading at 1.9c each) and Allied took over Hanover's loan assets, apparently worth $396 million.
The Herald has been told that Hotchin was jubilant when the deal went through.
Allied has since written off about three-quarters of their value and referred alleged irregularities in Hanover's affairs to the Serious Fraud Office.
In November the SFO confirmed it was investigating Hanover and had reasonable grounds to consider a fraud had been committed but SFO director Adam Feeley this week told Radio New Zealand his office was not close to making the link from suspicion to hard evidence of criminal offending.
Allied Nationwide Finance - Allied Farmers' finance company - has since collapsed and Allied and Hanover are in dispute over a $5 million payment.
Allied has complained that the true value of Hanover assets was nothing like what was purported, while Hanover says that is an excuse for mis-management of the assets by Allied.
The Securities Commission is also investigating Hanover and has obtained a court order freezing Hotchin's assets.
Hotchin is currently challenging the order.
Allied versus Hanover
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