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

 


William Yan-related Mega stake under restraining order

William Yan-related Mega stake under restraining order

By Paul McBeth

Aug. 25 (BusinessDesk) - An 18.8 percent stake in cloud storage and encryption firm Mega has been placed under a restraining order as part of a freeze on the assets of Auckland business William Yan.

Two companies associated with Yan, formerly known as Bill Liu, have been subject to a restraining order under the Criminal Proceeds (Recovery) Act, with the shares under the Official Assignee's custody and control, Mega said in a statement. Any funds received as subscription for new shares were paid to Mega's lawyers through banks operating under Anti Money Laundering processes, it said.

"The police have commented that their action does not affect any innocent third parties (such as Mega) who have had business dealings with Mr Yan," chief executive Graham Gaylard said. "Mega has never had any reason to suspect that such funds resulted from any illegal activity, and the restraining order will not affect the operations of Mega."

On Saturday, the New Zealand Herald newspaper reported millions of dollars of assets allegedly owned by Yan had been seized by police as part of an investigation into a money laundering ring. Through a lawyer, Yan denied the allegations, the Herald reported.

Neither company was named, although TEY Trustee Ltd and New Vision Trustee Ltd, which emerged as shareholders of Mega in May, hold a combined 18.81 percent, according to Companies Office documents. Those companies' interests are held through Jesse & Associates lawyer Jesse Nguy, a former president of the now-defunct New Zealand Chinese Business Chamber.

The combined stake pips Shen Zhou Wu's 16.7 percent stake in Mega, who is listed as the biggest shareholder in the company. Shen, a regular donor to the National Party through his Contue Jinwan Enterprise Group, replaced Dotcom as the firm's biggest investor in May.

Dotcom is looking to list Mega on the NZX through a reverse takeover and is spending heavily on court action fighting his extradition to the US on conspiracy and money-laundering charges relating to copyright breaches, and on his political vehicle, the Internet Party.

He stepped back from a hands-on role at Mega last year, resigning as a director in August to focus on his extradition hearing, music streaming website and political aspirations via the Internet Party.

Mega appointed Gaylard as its new chief executive this month, replacing Stephen Hall, who would remain with the business to work on its proposed reverse listing with NZX-listed TRS Investments.

This month Mega raised US$7 million to help fund the listing, and pushed out a deadline to get TRS shareholder approval for the deal until the end of October.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Trade Agreements: TPP Minus US Starting To Gain Ground

The Japanese government is picking up the pace on reviving the Trans-Pacific Partnership trade and investment deal, with talks scheduled next month among the 11 countries left in the pact after the withdrawal by the US after the election of president Donald Trump. More>>

ALSO:

PACER:

Prices Up 2.2%: Annual Inflation Highest In Over Five Years

"Rising petrol prices along with the annual rise in cigarette and tobacco tax lifted inflation," prices senior manager Jason Attewell said. "Petrol prices in New Zealand are closely linked to global oil prices, and cigarettes and tobacco taxes rise in the March quarter each year". More>>

ALSO:

Undertaxed? NZ Income Tax Rate Second Lowest Among Developed Nations

New Zealand workers pay the second smallest portion of their income to the government among developed nations and less than half the average ratio of their Organisation for Economic Cooperation and Development peers. More>>

ALSO:

Cyclone Cook: Round Up Of This Week’s Weather

One of the significant impacts this week was flooding due to excessive rainfall amounts. Rainfall amounts topped out at 350mm over the past 60 hours in parts of northwest Nelson, with 200mm+ measurements recorded about Coromandel Peninsula, and between 150-200mm in the Kaimai Ranges. Rainfall amounts of between 30-50mm were commonplace elsewhere. More>>

ALSO:

Earlier: Batten Down The Hatches For Cyclone Cook

Although fast-moving, Cyclone Cook will be destructive and MetService Expert Meteorologists have issued Severe Wind Warnings for the whole of the North Island apart from Northland... More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news