Like Gina Rinehart PwC May Prefer If Australia's Biggest Trust Fund Battle Did Not Go To Trial

Photo: Getty/Paul Kane

It was decided this week that a two-year legal battle over a trust fund controlled by Gina Rinehart would go to trial in the NSW Supreme Court.

Earlier Rinehart — Australia’s richest person — had offered to step down as head of the the $5 billion trust, with her lawyers telling a hearing this should mean the matter was over.

Despite this, an action brought by two of Rinehart’s children, who are accusing their mother of misconduct in her role as trustee, will go to trial.

And advice prepared by professional accounting firm PwC is expected to take centre stage, according to the Australian Financial Review.

Earlier hearings have hard that the firm, at the behest of Hancock Prospecting chief financial officer and Rinehart lieutenant Jay Newby, prepared a “sanitised” version of tax advice for the children bringing the action.

The advice related to capital gains tax implications — which are key in the misconduct claims — and was prepared with the help of Newby’s handwritten notes, according to the AFR’s report.

PwC has not been accused of any wrongdoing, and is not a party to the action. But its dealings with Newby are definitely set to come under scrutiny during the trial.

Read more here.

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