Belgrave Finance legal adviser Hugh Hamilton, a former mayor of Central Hawke's Bay, has been sentenced to four years and nine months in jail for his role in defrauding the failed lender.
Hamilton was sentenced at the High Court in Auckland today, having been found guilty in May of 14 Crimes Act charges of theft by a person in a special relationship, brought by the Serious Fraud Office and Financial Markets Authority, the agencies said in a joint statement. The charges arose from related party lending of more than $12 million by Belgrave between March 2005 and March 2008.
"The sentence reflects the seriousness of the offending in the Belgrave case," FMA director of enforcement and investigations Belinda Moffat said. "Professional advisers play a critical role in companies that raise money from the public, and they have a responsibility to ensure they do not enable wrongdoing."
Belgrave, which provided finance for property developments from funds raised via debentures and capital notes, was put in receivership in May 2008 owing $22 million to about 1,000 investors. It was placed in liquidation in April 2010.
This article is tagged with the following keywords. Find out more about MyNBR Tags
- NZME shares unpopular during first hour on NZX
- Brexit aftermath: disdain, the elites, and the warning for conservative parties everywhere
- NZ farmer confidence rebounds in second quarter as dairy price improves
- Dairy farmers need to reconsider 'smart level' of debt, Feds dairy chairman Hoggard says
- Accountant pinged for unauthorised car payments, conflicts of interest
Most listened to
- What Australia needs now is stability, no more hopping around, says CPA CEO Alex Malley
- The challenge for the conservative side of politics is to recapture the focus on national identity
- Craigs' Mark Lister says Brexit fallout is likely to mean more volatility and a sub-2% OCR
- NBR's Jenny Ruth on a report suggesting electric car uptake will be slow
- Sunday Business with Andrew Patterson: Brexit Special