QLDF

Review of Operations (As per Financial Report for the year ending 30 June 2016 and lodged with ASIC)

During the financial period the Fund’s principal activities involved the management of the remaining underlying assets of the Fund. During the period the Responsible Entity has initiated further action against parties in relation to various breaches of contract, the actions are being undertaken to seek compensation for the significant losses incurred by the Fund as a direct result of the those breaches.

The Responsible Entity has initiated an action against Addwealth Pty Ltd and the previous responsible entity of the Addwealth Achiever Fund for non-performance pursuant to the Memorandum of Understanding dated 10 August 2010.

During the period the Responsible Entity successfully defended a Statutory Demand brought against it and the Fund. The WA Supreme Court found in the Responsible Entity’s favour and judgement was handed down on 10th October 2012.

October 2016

The Manager and Questus Limited has come to a settlement with Valuestream Investment Management Limited and Primary Securities Limited as the Responsible Entity for the Addwealth Achiever Fund for non-performance under the MoU and the resultant losses suffered by the Fund and its related entities. The legal proceeding is now closed.

On 22 April 2016, the Responsible Entity applied for the Fund to be wound up.

The underlying investments of the Fund and their activities for the year are summarised below;

QLDF Development 1 Pty Ltd (Pinjarra Springs)

The asset has been sold by the Receiver and Manager following their appointment by St George Bank, the underlying project land is no longer an asset of the Fund.

Yalop Pty Ltd (The Tuarts Private Estate)

The asset has been sold by the Receiver and Manager following their appointment by St George Bank, the underlying project land is no longer an asset of the Fund.

QLDF Development 2 Pty Ltd (Lot 9000 Burma Road, Baldivis)

The asset is on the market for sale as instructed by the primary funder/ 1st mortgage holder.

QLDF Development 3 Pty Ltd (Karnup Estate)

Receivers and Managers Appointed. The asset has been sold by the Receiver and Manager following their appointment by Bank of Queensland, the underlying project land is no longer an asset of the Fund.

CURRENT UNIT PRICE: $0.000 (As at 30 June 2014)

Due to the Appointment of Receivers and Managers to the underlying investments in the Fund. The Funds Auditors have de-consolidated these investments.

Due to the Fund not currently in control of these investments, the unit price is indeterminable pending outcomes with the respective lenders and their appointed Receivers and Managers.