Rinehart children want new trustee

GINA Rinehart's two children who are fighting the billionaire for control of the family trust want a new trustee.

GINA Rinehart's two children who are fighting the billionaire for control of the family trust have applied for respected Adelaide businessman Bruce Carter to be appointed the new trustee.

Mr Carter, who has extensive experience in the public and private sectors, was a founding managing partner of Ferrier Hodgson and is the head of government-owned shipbuilder ASC.

The revelation came as it emerged yesterday that Mrs Rinehart is likely to have to face court for cross-examination when the matter is eventually heard in October. Mrs Rinehart's children, John Hancock and Bianca Rinehart, have alleged serious misconduct on their mother's behalf as trustee of the family trust, which controls 23.45 per cent of her flagship company Hancock Prospecting.

The trust was originally set up by Mrs Rinehart's father Lang Hancock for the benefit of his grandchildren. One of Mrs Rinehart's children, Hope Welker, recently switched sides in the dispute, joining her mother along with her younger sister Ginia as a defendant.

In a brief hearing in the NSW Supreme Court yesterday, lawyers for John Hancock and Bianca Rinehart applied for Mrs Rinehart to be replaced as trustee. Mr Carter's name was not mentioned in court, and the lack of detail from the legal team for Mr Hancock and Bianca Rinehart was criticised by the judge, Patricia Bergin.

"It is a significant change that you are seeking . . . If your client is going to seek to amend to a trustee that is not a family member, then I will have to bring it back to see what the attitude of the other parties is," Justice Bergin said.

The judge said Mr Hancock and Bianca Rinehart would need to make a proper application in the next three days.

Mr Carter's identity was later revealed in legal documents seen by The Australian.