ANZ chief risk officer ‘shanghaied’ Oswal

Chris Page used physical force to coerce Pankaj Oswal and his "wifey” into signing documents, a court has heard.

Pankaj Oswal, left, and his wife Radhika leave the William Cooper Justice Centre in Melbourne today.

It’s probably not a standard technique for getting someone to sign mortgage papers, but according to witnesses ANZ chief risk officer Chris Page first “shanghaied’’ Indian businessman Pankaj Oswal at a tense meeting in 2009, before then placing him in a headlock and declaring “bloody well sign or we will destroy you,” a court has heard.

In an email to ANZ’s key legal counsels, including ANZ group general counsel Bob Santamaria, Mr Page then updated on the progress of negotiations, saying all documents would be signed by Mr Oswal and Radhika Oswal – or as he called her in the email, “wifey’’.

The latest instalment of the bitter and costly dispute between the former Indian power couple, Mr and Mrs Oswal, and ANZ over the collapse of their Burrup Holdings fertiliser plant, was played out in court today with stories of Mr Oswal being “shangaied’’ into a room where he was placed in a headlock, and of attempts to intimidate Mr Oswal and his wife.

Pankaj, left, and Radhika Oswal were coerced into signing a document, the court heard.

Garry Rich SC, appearing for Mr Oswal’s wife Radhika, told the Supreme Court this morning that a lawyer will give evidence that Mr Page put Mr Oswal in a headlock as part of a heated discussion to get the business couple to sign over assets and assume responsibility for hundreds of millions of dollars in debt.

Mr Rich said Mrs Oswal’s lawyer, Mr Greenham, was present at a meeting on a Sunday morning in December 2009 where Mr Page lured Mr Oswal out of the room, saying he wanted to introduce him to someone.

“He wasn’t in the room where Freehills and the other bank representatives were and he (Mrs Oswal’s lawyer, Mr Greenham) found them in the end, near the end of the hall in a separate room, that is Mr Page and Pankaj alone, and he saw Mr Page with his arm around Mr Oswal’s neck, his mouth close to his ear,” Mr Rich told Judge Julie Dodds-Streeton.

“Mr Oswal was stooped forward under the weight of Mr Page’s arm and his evidence will be that this was not a friendly gesture. When Mr Page saw Mr Greenham, he quickly removed his arm and stepped aside and Mr Greenham took Pankaj back to where he had been and they all observed him to be extremely flustered.”

Mr Greenham made a note at the time that he believed Mr Oswal was “shanghaied’’ by Mr Page.

“Your Honour, Shanghaiing is an interesting word. I think it originates with a practice of kidnapping sailors and forcing them to serve on ships but it seems to have evolved into a word that means, in effect, compelling somebody to do something by use of physical force. In any event, that’s what he wrote.”

The court was told Mr Oswal said Mr Page told him: “Bloody well sign the documents or we will destroy you.”

At the time, lawyers for Mr and Mrs Oswal claim, the ANZ was squeezing Mrs Oswal to put up her biggest asset - her stake in Australian fertiliser business Burrup – and personally be responsible for $US568m in debt to ANZ.

In an email Mr Page referred to Mrs Oswal as “wifey’’, Mr Rich said.

“Sunday morning 9am Oswal here. We negotiate co-op agreement and he signs all documents with wifey.”

Mr Rich added: “There is within that, we submit, a perception that Radhika is nothing more than an appendage who is just going to sign.”

The case is continuing.