Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


FMA to pursue Strategic Finance directors

FMA to pursue Strategic Finance directors over 'likely' Securities Act breaches

Feb. 7 (BusinessDesk) - The Financial Markets Authority is preparing to file civil actions against the six directors of the failed finance company, Strategic Finance, saying it's concluded they are "likely to have breached the Securities Act".

The apparent breaches were in a prospectus, advertisement and investment statement issued between March and August 2008.

Strategic went into receivership in March 2010 owing approximately 11,000 investors $383 million, having been under moratorium arrangements since 2008.

The directors involved are Kerry Finnigan, Graham Edward Jackson, Marcel Aubrey Lindale, Timothy John Rich, Denis Grenville Thom and David John Wolfenden, the FMA said in a statement.

The directors are now to have an opportunity to respond to the FMA's proposed claim before civil proceedings are filed.

“FMA’s role as a publicly-funded litigant, acting in the public interest, necessitates this announcement to keep the market and investors informed,” said FMA Head of Enforcement, Belinda Moffat.

Strategic investors got a Christmas Eve distribution of 1.5 cents in the dollar, taking their return-to-date to 10 cents, and receiver John Fisk, from accounting firm PwC, estimates they will get between 12 percent and 20 percent of their original investment back.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Fletcher To Close Its Christchurch Insulation Plant, Cut 29 Jobs

Fletcher Building, New Zealand’s largest listed company, will close its Christchurch insulation factory, as it consolidates its Tasman Insulations operations in a “highly competitive market”. More>>

ALSO:

Scoop Business: Novartis Adds Nine New Treatments Under Pharmac Deal

Novartis New Zealand, the local unit of the global pharmaceuticals firm, has added nine new treatments in a far-ranging agreement with government drug buying agency, Pharmac. More>>

ALSO:

Crown Accounts: English Wary On Tax Take, Could Threaten Surplus

Finance Minister Bill English is warning the tax take may come in below forecast in the current financial year, as figures released today confirm it was short by nearly $1 billion in the year to June 30 and English warned of the potential impact of slumping receipts from agricultural exports. More>>

ALSO:

Auckland Outage: Power Mostly Restored Overnight

Vector wishes to advise that all but 324 customers have been restored overnight. These customers are spread throughout the network in small pockets. The main St Johns feeder was restored around midnight allowing most of the customers in all affected areas to have power this morning. More>>

ALSO:

Half Empty: Dairy Prices Drop To Lowest Since August 2009

Dairy product prices fell to the lowest level in more than five years in the latest GlobalDairyTrade auction, led by declines in butter milk powder and whole milk powder. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news