Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


$18.5 million settlement for Capital + Merchant Finance

Media release

26 June 2014: 2.00pm

$18.5 million settlement for Capital + Merchant Finance

The Insolvency and Trustee Service (a business unit within the Ministry of Business Innovation and Employment) today announced it has successfully finalised a settlement agreement for $18.5 million.

The settlement represents a full and final settlement of all claims by the liquidator of Capital + Merchant Finance against BDO Spicers (the previous auditors) arising out of the audits of Capital + Merchant Finance's financial statements for the years ended 31 March 2006 and 31 March 2007. It is made without any admission of liability on the part of BDO Spicers.

Les Currie Official Assignee at Hamilton and liquidator of Capital + Merchant Finance Limited (In Receivership and In Liquidation) says the agreement with BDO Spicers settles a long standing civil claim as instigated by the liquidator. The settlement was reached after assessment of the risks and benefits of litigation and the associated costs.

“This milestone represents a significant settlement in this matter for the ultimate benefit of the investors in the company - several thousand public investors who purchased secured debenture notes”.

“It was achieved after rigorous negotiations and consultation. My team of insolvency personnel, experts, and legal counsel have all worked diligently to ensure the best possible outcome for the company and its investors,” says Mr Currie.

[ends]

Background:

Capital + Merchant Finance Limited was placed into receivership on 23 November 2007 with the appointment of Timothy Downes and Richard Simpson of Grant Thornton as Receivers. A second receivership also commenced on 29 November 2007 with the appointment of Grant Graham and Brendon Gibson of Korda Mentha as Receivers. The first receivership was concluded on 21 March

2012 and the second receivership continues. The Official Assignee was appointed liquidator of the company on 15 December 2009 on the petition of the Registrar of Companies.

Three former directors of C+M (Nicholls, Douglas and Tallentire) were convicted of offences under the Crimes Act and the Securities Act as a result of prosecutions by the Serious Fraud Office (SFO) and the Financial Markets Authority (FMA). They received total prison sentences of between six and eight and a half years’ imprisonment. Two of the directors (Ryan and Sutherland) were ordered to pay reparation totaling $160,000.


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

AMA: Scoop's 'Invisible Paywall'

Operation Chrysalis: The Final Countdown - Thanks & There's Still Time To Pledge

Phew! We are now counting down the hours to the end of this crowd-funding campaign at 11pm on Sunday. Thankyou to all those Scoop readers and supporters who have pledged already. You have been awesome. But this is not over yet. More>>

 
 

PARLIAMENT TODAY:

IPCA Reports: Significant Problems In Police Custody

In releasing two reports today, the Independent Police Conduct Authority has highlighted a number of significant problems with the way in which Police deal with people who are detained in Police cells. More>>

ALSO:

Inspector-General of Intelligence and Security: Inquiry Into GCSB Pacific Allegations

The complaints follow recent public allegations about GCSB activities. The complaints, and these public allegations, raise wider questions regarding the collection, retention and sharing of communications data. More>>

ALSO:

TPPA Investment Leak: "NZ Surrender To US" On Corporates Suing Governments

Professor Jane Kelsey: ‘As anticipated, the deal gives foreign investors from the TPPA countries special rights, and the power to sue the government in private offshore tribunals for massive damages if new laws, or even court decisions, significantly affected their bottom line’. More>>

ALSO:

Werewolf: The Myth Of Steven Joyce

Gordon Campbell: The myth of competence that’s been woven around Steven Joyce – the Key government’s “Minister of Everything” and “Mr Fixit” – has been disseminated from high-rises to hamlets, across the country... More>>

ALSO:

RMTU: No Public Submissions On International Government Procurement Deal

“The government is preparing to assent to the Government Procurement Agreement, a World Trade Organisation Treaty which opens up New Zealand Government contracts to foreign companies and closes the door on local businesses and their workers. However the Foreign Affairs, Defence and Trade Select Committee is refusing to take public submissions on the decision.” More>>

ALSO:

Gordon Campbell:
On Pacific Spying

So New Zealand spied on its friends and allies in the Pacific – and has not only been passing on the results to the NSA, but has apparently passed on the details of the Pacific’s relations with Taiwan to our other best friends, the Chinese. On the side, the Key government has also been using the security services to gauge the chances of Trade Minister Tim Groser landing the top job at the WTO... More>>

ALSO:

State Housing Transfer: Salvation Army Opts Out

The Salvation Army has decided against negotiating with Government for the transfer of Housing New Zealand stock.
More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news