Fast-lane debt leads to High Court liquidation hearing

A deal involving a Lamborghini Diablo SE30, a Mercedes-Benz and a Bentley has soured. Photo / Supplied

A high-flying businessman's company is being pursued for money owed on sports cars, including claims over one of the world's most exclusive vehicles.

Exotic car dealer Noel Fava is taking fellow sports car dealer Greg Lyne's company to court in a case that features a special edition $248,000 Lamborghini Diablo SE30.

Fava has filed an application with the High Court at Auckland to liquidate Lyne's company Lamborghini (NZ) Ltd, which operated as Greenlane Exotics & Prestige RMVT. Lyne is the sole director and shareholder.

Documents filed at the court show Lyne's company borrowed money from Fava to buy several expensive cars, which he intended to sell.

In his affidavit Fava said Lyne had never disputed that he owed the money.

Fava refused to comment on the case but court documents show there were two $100,000 loans linked to the Lamborghini Diablo and a 1993 Mercedes-Benz SL600. Another $50,000 loan was secured against a 1988 Bentley, and there was an extra unsecured $100,000 loan.

Fava had since received the Bentley and Mercedes to settle part of the debt, and was paid $100,000 in cash to pay out the Lamborghini loan.

That left him $100,000 out of pocket - and also facing possible losses if he cannot sell the cars for the value of the loans.

An email from Lyne's lawyer to Fava's said that Fava had already been told there was no chance of getting his money back.

The email read: "There would be no payment as there was no money to pay it. But this seems not to have sunk through to your client. Tell your client not to ring or contact Greg."

Fava said Lyne had rejected an offer to secure the money on his home. Property records show Lyne is co-owner of a Remuera house valued at $3m with his wife Jane and brother Neville.

Lyne's father Ron Lyne is a wealthy New Zealand businessman whose interests include the luxury Millennium Hotel & Resort in Taupo.

Ron and Greg Lyne refused to comment.

The application to put Lamborghini (NZ) Ltd into liquidation was filed with the High Court on December 15. Fava also stated in court papers Lyne had personally guaranteed the company debt.

The hearing was originally scheduled for last December however it was postponed for medical reasons.

The judge deferred the case and gave Lyne's company until February 26 to file a defence.

Fava opposed the deferral.