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Sludge Feedback: Shades Of RSL In Hartner Decision

Dear C.D. Sludge,

Re: Securities Commission refusal to appoint Stat. Mgr. of Hartner Construction Ltd.
Sludge Report #82 - Catch 22 For Hartner Creditors

Your piece in today's "just politics" reminded me of the Security Commission's 1988 report to Geoffrey Palmer on my 1988 report on alleged widespread property frauds which led to the sudden collapse of the RSL and Landbase groups of companies.

I had asserted that the group’s activities had defrauded the public of approximately $150M. The actual losses turned out to be well in excess of that figure, and soon afterwards led to the collapse of several contributory mortgage and other companies. .

Palmer invited the Commission to investigate my assertions. Remarkably, the Commission didn't then approach me to discuss the steps I had taken in the course of my investigation. It eventually reported to Palmer that the activities I had uncovered merely involved fraudulent dealings between known "con-men". That indication later turned out to be very wide of the mark.

John Farrell was then CEO of the Commission. I strongly suspect he is accustomed to deliberately down-playing commercial messes which will or might embarrass the Government of the day, and which will probably require considerable funding to investigate.

Former Justice Dept. Investigating Lawyer


Dear C.D. Sludge,

RE: Sludge Report #81 How To Save Air New Zealand

This sort of socialist thinking died about 15 years ago. Let it go!

If the airline did fall over, which is most unlikely, then Virgin, SIA or some other operator would rapidly arrive on the scene to pick up the pieces, at bargain rates. Or if all else fails, then the Government could pick it up at bargain cost too.

The cold reality is the Air NZ is angling to get cheap Government money. If there are enough novices and socialists around like you to fall for such a plan, then good luck to them. I would try that too if the chance arrived! Throwing taxpayers money into such a plan is just stupid!


Anti(c)opyright Sludge 2001

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