Director of Du Val, Kenyon Clarke. Photo: kenyonclarke.com
Part of the Financial Market Authority's case against the former owners of insolvent property developer Du Val may be delayed because the couple cannot find a legal aid lawyer.
Legal aid is government funding for people who cannot afford a lawyer.
Kenyon and Charlotte Clarke owe almost $240 million to creditors and investors after their company was placed into statutory management in August.
A hearing on the FMA's action against the Clarkes for asset preservation orders was due to start on 3 December.
But in a decision released on Thursday, Justice Neil Campbell revealed the Clarkes had been unable to secure a lawyer and gave them a deadline to do so.
"Given that the Clarkes remain without legal representation, the FMA accepts that it is not feasible for [the] hearing to proceed," he wrote.
"I agree. However, because the Clarkes are entitled only to a reasonably [sic] opportunity to obtain representation before the FMA's applications are heard, I am also of the view that... the Court [should be] informed of the efforts made by the Clarkes to obtain representation."
Campbell directed the Clarkes to obtain legal aid by 29 November, or give a comprehensive explanation for why they had not done so.
If the Clarkes do not obtain a lawyer and file a notice of opposition to the FMA's applications by 6 December, a week after Campbell's deadline, the judge would give them further directions on 9 December.
In a now-deleted Instagram post on Wednesday, Kenyon Clarke promised a "biblical response" to the FMA's case against him.
"While I may be under a gag order not to speak about any questionable FMA investigation, I can say this, get on and charge me," he wrote.
"I can't wait to see you in court and expose every grubby little deal, every grubby witness and the trial by media in the absence of any evidence. Let's go!"
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