Aussie magnate slams 'selfish children'

Australia's richest person, Mrs Gina Rinehart, has attacked her children as "selfish" after a lawsuit over the family fortune exposed bitter jealousies and resentment between the iron ore magnate and the four warring siblings.

Mrs Rinehart's attack was directed at her two oldest children, John Hancock and Bianca Rinehart, who are seeking control of a A$5 billion (S$5.8 billion) family trust.

The children say that Mrs Rinehart could jeopardise the growth of her mining empire if she persists, along with her youngest daughter Ginia, with efforts to introduce a trustee from outside the family.

The older children want Bianca to be made the trustee and say this will ensure the future of the Hope Downs iron ore mining venture with Rio Tinto - a deal under which the trust is to be controlled by one of Mrs Rinehart's descendants. Mrs Rinehart's company, Hancock Prospecting, has a A$10 billion stake in the project.

But the long-running battle has extended far beyond business matters. When the case finally landed in the Supreme Court of New South Wales last week, it revealed the extent of the enmity, jealousies and dysfunction in Australia's wealthiest family.

Bianca, 37, was the first witness and revealed that she did not tell her mother or her three siblings about her marriage in Hawaii last year .

"I wanted it to be a happy affair," she said.

The court heard that she had faced "threats and intimidation" by her mother to drop the case.

Bianca was asked about an e-mail from her brother to his mother in which he described Ginia as a moron and an idiot and suggested she "wear a bag over her head".

Attempting to defend the comments, Bianca said her brother was trying to prevent the eventual transfer of Hancock Prospecting - worth an estimated A$20 billion - to Ginia.

"He does not want to see the family business left to somebody who is not up to the job," Bianca said.

Ginia later fired back in a newspaper interview in which she attacked Bianca for backing their brother's "nasty" attack.

"It has been hurtful that Bianca, while in a public proceeding, chose to effectively side with John's comments about me,'' she told Sydney's Daily Telegraph yesterday.

"Nasty and mean comments shouldn't be made about anyone, let alone a family member, and certainly not to be then supported publicly by another family member."

The civil case centres on a trust set up more than 25 years ago by Mrs Rinehart's late father, mining magnate Lang Hancock.

The two children say Mrs Rinehart "deceitfully" changed the date at which they could access their share of the family's mining empire from 2011 to 2068 without their knowledge.

Ginia, the youngest daughter, was the only child to side with her mother in the case and has been rewarded with various promotions within the tightly controlled mining empire.

Another daughter, Hope Welker, initially sided with the two older siblings. She eventually settled with her mother for an undisclosed sum, believed to be a loan of A$45 million.

Following the four days of hearing, Mrs Rinehart said in an angry statement that the growth of her mining empire was due to her hard work and sacrifice and that her older children were undermining the company.

"This has become a company this family should be genuinely very proud of, as my daughter Ginia is, not attacked or distracted for selfish reasons in public litigation," she said.

A family 'in the pits'

Gina Rinehart

The controversial 60-year-old mining heiress is Australia's richest person after building up the mining company started by her maverick father Lang Hancock. An only child, she was groomed by her hard-headed father to take over his iron ore firm.

John Hancock

The 38-year-old only son has led the fight against his mother and says he is doing it for his grandfather. He has pursued his own business ventures, including an iron ore business that could drill near his own mother's tenements in remote Western Australia. He and Bianca are the children from Mrs Rinehart's first marriage.

Bianca Rinehart

The 37-year-old is seeking, with her brother's support, to take control of the A$5 billion (S$5.9 billion) trust. She is married to an executive from mining giant Rio Tinto. She was the only family member to take the stand in court last week.

Hope Welker

The 28-year-old made headlines after she cried poor last year, saying she could no longer afford a cook, a housekeeper and a bodyguard. She initially sided with her two older siblings but her apparent financial difficulties prompted her to back down after reaching a settlement for an undisclosed sum with her mother. She and Ginia are children from Mrs Rinehart's second marriage.

Ginia Rinehart

The 27-year-old youngest daughter is being groomed to take over the mining empire. She is the only child to side with the mother and has been attacked as spoilt and unintelligent by her brother. In turn, she attacked her siblings as greedy and money-hungry, risking damage to the "family and its good reputation".

This article was first published on June 29, 2014.
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