Investors whose funds are frozen in ING New Zealand have until the end of today to take up an offer which would give them 60 percent of their money back.
More than 13,000 investors had their funds in the Diversified Yield Fund (DYF) and Regular Income Fund (RIF) locked since March last year. They have until the end of today to accept the settlement proposal from ING.
The funds management company was offering investors 60 percent of what they paid - 60c per unit for DYF and 62c per unit for RIF investors.
However, by taking the offer, they would waive their rights to take or benefit from legal action or claims.
ANZ owns 49 percent of ING New Zealand, which in 2008 suspended withdrawals from two funds that invested in collateralised debt obligations - the funds at the centre of the US financial markets meltdown.
Andrew Davidson, a spokesman for the Frozen Fund investor group, told The New Zealand Herald he expected a significant number of ING investors to take up the offer.
"I would be surprised if anybody didn't take it up. We are being backed into a corner and forced to sign under duress. What option do we have?"
His group was formalising into a trust and setting up a board of ING investors from around the country to pursue their money.
"They may have thought we were going to go away. If they have, they have miscalculated us." Especially concerning was how ING was one of the Government's chosen default KiwiSaver providers, Mr Davidson said.
"We are really concerned about that, given the way they have treated investors and the New Zealand regulatory system.
"We need some reassurance that the Government is serious about looking at where people are putting their retirement savings."
NZPA