Lawsuit as Gatto fails to deliver on ‘magic’

A COUPLE claim they were told Mick Gatto would “do his magic” to recover more than $1.3 million they believed was owed to them by a developer.

Now Stuart and Sharon Greig, of Wonga Park, are suing Mr Gatto’s debtcollection agency, claiming incompetence and negligence left them a further $40,000 out of pocket and unable to recoup the alleged debt.

In a writ filed in the County Court, Mr Greig claims he spoke with Gatto Corporate Solutions director Anthony Swords and the company’s “de facto director” Mick Gatto in October 2015 about $1,364,805 he claimed he was owed by a building company.

At the time, Mr Greig was a real estate agent marketing a residential development built by the company.

Mr Greig alleges he was induced into hiring Gatto Corporate Solutions after being told it had a 99 per cent success rate in recovering debts, and that “Mr Gatto will do his magic”.

The couple claim they paid Gatto Corporate Solutions $30,000 for “out-of-pocket” legal expenses to hire competent solicitors.

In return, it is alleged the debt collectors would get half of any money recovered, plus legal fees in excess of $30,000.

The Greigs claim Gatto Corporate Solutions failed to hire competent solicitors or provide adequate funds to properly prepare proceedings.

They allege they were left $10,200 out of pocket after costs went against them.

The couple accuse Gatto Solutions of forcing them to pay those costs after instructing its lawyers to withdraw from the case.

The Greigs are seeking unspecified damages and orders that all payments made by them to or at the direction of Gatto Solutions be repaid and they be indemnified for all legal costs.