HIH liquidator Tony McGrath's $529 million civil damages case over HIH's acquisition of FAI Insurance is in danger of drowning under a sea of claims, counter-claims, paperwork and witness testimony.

At last Thursday's directions hearing in the NSW Supreme Court, Justice Patricia Bergin expressed concern about the growing complexity of the case as yet another cross-claim was tabled.

Reinsurance broker Guy Carpenter has brought a cross-claim against former FAI audit committee members Ted Harris and Geoff Hill, who have become the latest insurance executives to be swept up in the imbroglio.

Mr McGrath is attempting to recover the $295 million HIH spent on FAI in 1998, plus interest, from nine defendants.

In addition to Guy Carpenter, the defendants include former FAI executives Rodney Adler, Timothy Mainprize and Daniel Wilkie, as well as ex-Goldman Sachs executives Malcolm Turnbull (now Federal Opposition Treasury spokesman) and Russell Pillemer. Former FAI auditor Arthur Andersen and reinsurer National Indemnity have been named in cross-claims.

Mr McGrath's counsel Alan Sullivan has flagged calling as many as 150 witnesses to testify. He has also expressed concern about the lack of independent experts, many of whom have already been engaged by defendants.