Chris Marco: Complainant in alleged mega-fraudster’s trial concedes he pocketed $1.6m from scheme

The first witness in the trial of an alleged mega-fraudster concedes he pocketed a handsome profit from the scheme, but complains he was misled about how the funds would be used. Chris Marco, 67, and his former executive assistant Linda Anne Marissen, 57, are fighting a combined 74 charges in the District Court of WA. Andrew Batchelar funnelled millions in cash to Mr Marco, who told him the cash was used as proof of funds for private placements overseas, secured by the Nedlands-based businessman’s own bank balance. After pouring in savings, Mr Batchelar, who owns a NSW-based insurance underwriting business, took out bank loans and even tapped his superannuation. He was “100 per cent confident” continuing to trust Mr Marco as the arrangement had not changed. But in August 2019 — after the Australian Securities and Investments Commission pounced in November 2018 and froze Mr Marco’s assets — he was alarmed by a mass email he was copied into. In it, Mr Marco responded to a question by saying: “Our security is held in cash, property and a small amount of readily realisable shares and collectables”. That “was a huge red flag”, Mr Batchelar said. Asked if he had any inkling his funds were being used to pay other investors’ returns, he replied: “I would never have invested if I had known that was the case”. Prosecutors say nearly 80 per cent of the $253 million Mr Marco was entrusted with between 2011 and 2018 was “recirculated” and just $11.5m sent overseas in the last months of the scheme was possibly invested. They also allege Mr Marco, his family and associates shared $21 million, with some of that later spent on a collection of classic and muscle cars. “I had no idea at all that Mr Marco was buying vehicles or properties, using the funds for his own needs,” Mr Batchelar said. “He is using funds as, I suppose, a security blanket or a backup if the original investment goes wrong. “I didn’t know he was investing in other securities, hedging that.” Under questioning by defence counsel Luka Margaretic, Mr Batchelar agreed that he was net positive to the tune of $1.6 million, allowing him to take a four-year break from work. That figure did not include tens of thousands in consulting and referral fees his wife had charged Mr Marco, including some $120,000 over one year alone. “You didn’t look deep or scratch the surface ... as long as you were being paid significant interest and retaining your principal on request, that is all that was important to you,” Mr Margaretic said. Mr Batchelar said he felt at the time that his due diligence was adequate, seeking reassurances verbally and in writing. Simon Freitag, representing Ms Marissen, says his client worked entirely under Mr Marco’s direction and “simply helped the administrative wheels turn”. The trial continues.

Chris Marco: Complainant in alleged mega-fraudster’s trial concedes he pocketed $1.6m from scheme

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