The legal battle between Melissa Caddick’s parents and their betrayed investors may be headed for resolution, federal court has been told.
On Friday, the missing scammer’s parents, Ted and Barbara Grimley, proposed dropping the lawsuit over a multimillion-dollar Sydney mansion in exchange for an undisclosed sum.
The couple previously argued they should be allowed to continue living in an Edgecliff apartment bought by their daughter after claiming to have paid more than $1million in contributions.
The allegation had sparked a pitched battle with Caddick’s betrayed investors, who believe they are entitled to all monies recovered from recipients of Caddick’s property.
The fraudulent financial adviser has been accused of embezzling more than $23 million in investor funds to pay for a lavish lifestyle of luxury cars and designer clothes.
She disappeared in November 2020, a day after the Australian Securities and Investments Commission raided her Dover Heights home.
Her parents were not involved in her cheating and they are not accused of any wrongdoing.
The attorney representing Caddick’s trustees, Vanessa Whittaker SC, said the offer is the best-case scenario for Caddick’s betrayed investors.
She argued that the cost of legal fees meant they would not get a “substantially better return” if the court ruled in their favour.
Ms Whittaker told the court that the trustees would bring the offer to the attention of interested parties and hold meetings with investors to address their concerns.
Written objections from investors that have been heard by the court must be submitted to the Federal Court of Justice by May 24 in order to be considered.
Ms. Whittaker assured the court that her clients were “at ease” with giving investors as much time as possible to evaluate the offer.
Caddick’s parents’ attorney, Robert Newlinds SC, told the court that his clients support the settlement of the ongoing dispute.
“Of course we think it’s a good idea,” he said.
“We support that.”
Mr Newlinds told the court that accepting the offer would not prevent investors from taking private legal action against the couple.
“Anyone who believes they have a right to sue Mr. and Mrs. Grimley should feel free to do so,” he said.
The court heard a lawsuit from Caddick’s husband, Anthony Koletti, over his wife’s property, including valuable jewelry, which he claims was a gift, and will be heard at a later date.
Ms Whittaker said recipients were “taking as many steps as possible behind the scenes” in relation to the allegation.
Caddick was pronounced dead four months after her disappearance when a decomposing foot was found on a beach 400km south of Sydney in February 2021.
A coronal inquest trying to uncover the cause and manner of her alleged death has revealed the impostor’s death likely remains unknown.
The coroner’s findings are expected to be released later this month.
