The receivers for New Zealand based company Bridgecorp and local developer's Matapo Limited are now expected to take legal action against the Fiji National Provident Fund over the Momi Bay report project.

Radio New Zealand reports that Bridgecorps receivers, Price Waterhouse Coopers, Colin McCloy said both they and Matapo are looking at taking legal action against the Fund, on its decision to try and recover the 38 million US investment in the Momi Bay resort project.

The FNPF has announced that it has taken possession of the Momi Bay property, following the decision by the board to proceed with foreclosure to acquire and protect its assets and prepare to auction the property. FNFP has also engaged a Security firm to provide security at the site.

FNPF Board Chairman, Parmesh Chand has said that the FNPF is exercising its right as mortgage holder as the loan has turned bad.

He said that the money belongs to the workers of Fiji who are members of the Fund. He said they lent the money in expectation that it would be repaid as per schedule and obviously that has not happened.

Director of Matapo Limited, Philip Temo is yet to comment on the matter.