The receiver of Lombard Finance and Investments has more bad news for investors wanting their money back.
PricewaterhouseCoopers says market conditions are making it more difficult to recover outstanding loans and secured investors will get even less money back than previously indicated.
PricewaterhouseCoopers says Lombard's 27 property loans are mostly on vacant land or semi-complete developments that are difficult to sell in the declining market and costly to maintain.
Because of that, the receiver says secured debenture holders are now likely to be repaid between 19 cents to 40c in every dollar owed, compared with its previous estimate of between 21c to 44c.
The receiver also says the timing of any investor payout is still uncertain, due to difficulties selling Lombard's assets.
Lombard owes about $127 million to 4400 investors.