Strategic Finance is having its moratorium reviewed again.
Thirteen months ago, 15,000 investors in the ailing finance company agreed the $325 million they are owed, should be repaid over five years, instead of the company being put into receivership.
Chairman Denis Thom says falling property values and a further increase in its provisions for bad loans means the value of the loan book now is less than 75% of what is owed to debenture holders.
This has triggered a review of the moratorium.
Investors were told last year they would receive only 85 - 93 cents in every $1.
The company expects to make a loss of $84 million in the six months to December, compared with $33 million in the same period a year earlier.
