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


Insolvency Industry Meets For Conference

Insolvency Industry Meets For Conference

“As the insolvency industry meets for its big conference in Auckland this week it needs to be a lot of soul searching” says Bruce Tichbon, spokesperson for the Ross Asset Management (RAM) Investors Group.

“It is beholden on the insolvency industry to explain why, with so much white collar fraud in NZ, that the insolvency industry seems to be able to recover so little of the money that is stolen.

“Over the past few years there have been a huge number of spectacular failures in the finance industry, including many Ponzi schemes such as the recent Ross Asset Management (RAM) debacle. Yet the insolvency industry seems to be unable in most cases to recover anything more than a few cents in the dollar for the investors. The result is many, many thousands of NZ investors have been all but totally robbed and billions of investment dollars transferred to other parties. The impact has been devastating, costing the life time savings of widows and retired couples, as well as students saving for their educations, and young families saving for their first home.

“Recovery performance does not need to be so bad. In the case of the Madoff Ponzi in the USA, liquidation is on track to recover virtually 100% of the stolen money. Yet the investors in the RAM Ponzi in NZ are being warned to expect recoveries of somewhere between nothing and a few cents in the dollar at best.

“The insolvency industry must address why the recovery performance in NZ is so poor compared to overseas benchmarks. Does the NZ problem lie in weak law and regulation, poor insolvency industry enforcement, or an ‘old boys club’ culture? We are hopeful the overseas speakers at the conference will address these issues. We ask that the speakers from the Serious Fraud Office (SFO) and Financial Markets Authority (FMA), who will be at the conference, also address these concerns.

With tickets to the Insol conference costing more than $2,000 dollars in most cases, the company will be exclusive. As the industry shares drinks and canapés we hope they will spare a thought for the thousands of NZ investors who they should be helping to recover their life savings.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news