Anthony Klan April 26, 2007

GABRIAL Pennicott, who fled Australia leaving investors up to $20 million out of pocket, could face extradition from Canada, with the Attorney-General receiving a brief this week on the alleged Melbourne conman. The Australian on Monday revealed about 20 vigilante investors - angered by perceived inaction by government law-enforcement agencies - had tracked down Mr Pennicott at his Canadian mansion last month, serving him with a Supreme Court civil claim seeking $750,000. The Attorney-General's office, which is responsible for extradition proceedings, is now examining a brief compiled by the Australian Securities and Investments Commission from victims' statements in 2003 and 2004 and handed to the the Commonwealth Director of Public Prosecutions in 2005.

A spokesman for the Attorney-General said the Government could not comment on whether it had made an extradition request of the Canadian Government, because it only commented after extradition proceedings had begun before a magistrate.

The Pennicott investors served their civil claim after they were unable to obtain a response from either ASIC or the DPP about the progress of their complaints for almost two years.

That claim, prepared by BK Taylor & Co, the liquidator of former Pennicott company IBP Capital, alleges Mr Pennicott and his Melbourne-based business associate Jan Li stripped assets from the group for their own benefit as it was collapsing.

If Mr Pennicott does not respond to the claims by May 11, BK Taylor & Co can apply to have the case heard in his absence.

If he is found guilty and fails to make any restitution required of him, he can face extradition under criminal law.

Mr Pennicott, a former business associate and student of property spruiker Henry Kaye, allegedly collected up to $20 million of life savings from investors through "wealth creation seminars", spruiking property development and financing schemes.

This is the second recent case of victims of a company collapse taking the law into their own hands. Kovelan Bangaru, who fled Australia two years ago owing creditors $63 million, was arrested in Los Angeles after an angry investor tracked him down.