No use chasing Firepower's offshore funds: IMF
Posted
Firepower founder Tim Johnston is believed to be in London. (The Sunday Times)
The litigation funder IMF believes shareholders in the fuel technology firm Firepower would be better off following the money trail in Australia rather than pursuing its interests offshore.
About 1,200 shareholders are believed to have sunk up to $100 million into Firepower, which promoted a fuel additive designed to reduce vehicle emissions.
Firepower sponsored Western Australia's Super 14 rugby team, the Western Force and owes money to high profile sports stars.
Firepower's founder, Tim Johnston, is believed to be in London.
Firepower liquidator Bryan Hughes believes tens of millions of dollars are being hidden in offshore banks.
Paul Rainford from IMF says pursuing overseas funds would be expensive.
"In Australia you're dealing with a known problem, whereas if you go offshore you're dealing with the unknown," he said.
