Man takes on AMP over ‘missing’ 38-year deposit
A Sydney man will take on AMP on Friday, seeking as much as $200,000 over a 38-year-old investment it claims has vanished.
Manny Rosenthal sold a piece of land in 1982 for $20,000 and put the proceeds on deposit with the funds management giant at an initial interest rate of 17.5 per cent.
The Holocaust survivor placed the investment certificate in his safe and forgot about it, according to a statement of claim filed with the NSW District Court.
Mr Rosenthal, now 94, only discovered the certificate late last year when he was looking for an important document in the safe and found the certificate at the bottom of the pile.
In the statement of claim, Mr Rosenthal alleges that when he contacted AMP it said it had no record of his investment.
The claim accuses AMP of having "unlawfully closed" the account or having "negligently misplaced/lost" the funds.
However, Mr Rosenthal's lawyer John Kambas said that after proceedings commenced AMP conceded that in 1988 the money was transferred to its joint venture Chase AMP, which the US bank bought out three years later.
"This was done without Manny's consent and knowledge," Mr Kambas, who was once an in-house lawyer at AMP, said.
"The fact that AMP took 32 years to tell Manny that they transferred his money - and only after he pushed them for answers - shows the hypocrisy of AMP and why there has been such a public backlash against them.
The court claim alleges AMP failed in its duty of care to provide statements to Mr Rosenthal or to keep proper records of his investment.
A settlement conference is due to take place on Friday.
Mr Kambas, who also played first grade rugby league for the Rabbitohs, Eels and Sharks in the 1980s, said that after compound interest was factored in, the amount owing to his client could be between $150,000 and $200,000.
That calculation is not based on the original sum growing at 17.5 per cent.
An AMP spokesman said the matter "was first raised in late 2019 as part of a process with the Australian Financial Complaints Authority".
"Due to little information being available from investments held in the 1980s a decision by AFCA could not be made," the spokesman said.
"While the matter is before the Courts, AMP has agreed to mediate with the customer to help resolve the matter as quickly as possible."
Originally published as Man takes on AMP over 'missing' 38-year deposit