Even after four years after the downfall of his financial services company, MFS, Michael King continues to fight in court.

The MFS founder told the New South Wales Supreme Court of his pleadings with UBS to release cash locked up in the Stella tourism group in order to repay inter-company bank loans. King's MFS, now known as Octaviar, owes creditors $2.5 billion.

Adam Bell SC, on behalf of MFS liquidator Bentleys Corporate Recovery, conducted the public examination to determine when MFS became insolvent.

Evidences presented in court showed that MFS having serious cashflow problems in November 2007. The liquidity issues brought King to arrange a $2 billion Stella sale plan with CVC Asia Pacific managing partner Adrian Mackenzie and managing director Ben Keeble.

Failed negotiations with its US investment committee eventually broke down the Stella sale. Based on emails read in court, King then proposed a $300m capital raising with MFS chief financial officer David Anderson and director Rolf Krecklenberg.

Emails also reveal MFS to have considered the alternative to persuade US lender Fortress Credit to roll over its loan facility of $250 million for another three months. MFS also considered repaying $100 million to Fortress and roll over the remaining $150 million.

King disclosed that in the midst of this crisis he spent time away from work because his Queensland farm Elysian Fields was used as a venue for an Elton John concert.