Former millionaire accused of taking $220k from family friend

A former Sydney millionaire has been accused of taking $220,000 from a close family friend who claims he hasn’t seen a cent of it returned.

Norma Needham, who made her fortune running a Holden dealership, is accused of repeatedly “borrowing” money from father-of-three Prema Smith after losing her home and declaring bankruptcy.

Smith told A Current Affair he once considered Needham a mother figure.

“My children would call her grandma,” he said.

The pair met when Smith worked in the film industry, and Needham’s seven-bedroom Sydney mansion was used for television productions and music videos.

The sprawling estate, known as Longuevue, was also a popular wedding venue and once hosted the wedding of the sister of disgraced former Auburn deputy mayor Salim Mehajer.

But Needham’s fortunes took a turn when she was declared bankrupt in 2020 and lost the property.

Smith claims she first approached him for financial help in 2022, asking for just $200.

“She was saying that she had no money for food, she had no money for medicine,” he said.

Over the following months, Smith claims the requests became increasingly frequent, and Needham allegedly promised to repay him with funds from a legal battle related to her bankruptcy.

He also claims she offered him 25 per cent of any settlement she received.

In August 2024, Needham allegedly told Smith she had secured a settlement exceeding $10 million, with payment expected the following month.

“Date for payout - 25/9/2024… This is final. No more wheeling and dealing. SET IN CONCRETE,” a text message from Needham read.

But Smith claims the money never arrived, despite continuing to lend her funds.

By the time he realised he might never be repaid, he said he had handed over $220,000.

“My whole world crashed last year when I realised that I lost everything,” he said.

Smith claims he has received no repayments and says Needham signed a loan agreement last year.

A Current Affair contacted a lawyer previously associated with Needham, who said he had not represented her or attended court with her for several years.

Needham disputed Smith’s account when contacted by A Current Affair, claiming he had offered her the money voluntarily.

“He was the one who came to me and wanted to give me money,” she said.

A Current Affair is not suggesting Needham is not pursuing other legal proceedings, but questions remain over the alleged $10 million settlement.

Smith said the ordeal had left him financially devastated and cost him someone he considered family.

“I lost more than just the money, I lost a mother figure, I lost a friend, I lost a mentor,” he said.

“And now I’m so broke, so broke, so broke.”