The finance company, Australian Finance Direct (AFD), which provided loans to 'students' for Henry Kaye's (National Investment Institute) wealth courses', is just one example of a company that knew what was going on. And yet not only did it fail to act, it continued to enable Henry Kaye to fleece consumers while National Investment Insstitute was collapsing.
Without funding from AFD,Henry Kaye would not have been able to profit from the misery of consumers for as long as he did. Funding was vital. And AFD was there to assist him.
Some reports suggest that AFD stopped providing funding for Kaye's courses before June this year. Yes, like as soon as they knew he was on-the-nose, they stopped assisting him. This is
not true, they continued to provide money knowing full well what was happening.
Some loans are so fresh that borrowers are yet to make a first payment to AFD. These people are now being asked to keep paying for four years for loans of more than $20,000 each. If they protest as many are doing they are being threatened with legal action. Many of us are still being threated with legal action. AFD are showing no compassion, and some are at the brink of losing their homes and assets.
According to AFD's lawyers, in a letter to one of thousands of distressed consumers, the finance company will take enforcement action which may include advising credit reporting agencies that your payments are overdue and/or commencing legal proceedings against you.
Most of the people who were signed up on loan contracts had never heard of AFD. Worse, they never, at any stage, met anyone from AFD. The loans were signed-up by Henry Kaye's consultants.
They were assured of a guarantee. If you don't believe this course will give you financial security, you won't have to pay a cent, went the spiel. "We insist on refunding all money."
But now, with useless courses, these shattered people are being pursued for payment. Their pain and distress is immense. Little people given big promises all of which were false are now being hounded by a big finance company (AFD is owned by the Hanover Group of New Zealand) and their big city law firm.
Well AFD we hope that justice will be taken in court as we now know that court action is being taken by Consumer Affairs Victoria with respect to deficiencies in the loan contracts resulting in breaches of the Consumer Credit Code.
Legal representatives are our only hope to expose the practices that misrepresentations were made in relation to our loan contracts.