Free audio stream, including stories that are padlocked on our site. Listen on any device, anywhere. Updated twice daily. The audio stream takes several seconds to start on Android devices.Launch Radio player
Receivers for Belgrave Finance are close to obtaining almost $15 million from former director Shane Buckley and property developer Raymond Tasman Schofield.
The failed finance firm’s receivers want $6.29 million in compound interest on top of an $8.6 claim against the pair, Belgrave's lawyer Chapman Tripp partner Michael Arthur says.
Belgrave Finance was placed into receivership in May 2008, owing 1000 public investors more than $20 million. Investors have got back 17.4c in the dollar of their principal, according to the latest receivers' report.
Mr Arthur told NBR ONLINE that in the High Court at Auckland yesterday Justice John Fogarty indicated he would grant judgment in favour of the receivers.
“He indicated he was satisfied we had proved the elements of the claim but wanted to consider further the interests calculation,” Mr Arthur told NBR ONLINE.
Belgrave had argued Buckley breached his duties to the company by facilitating related-party loans.
Mr Arthur says numerous advances were made from Belgrave to interests associated with property developer Schofield, who was in substance the finance company's ultimate owner.
Neither Buckley nor Schofield were represented in court yesterday, the lawyer said.
Buckley pled guilty to 25 charges on May 25, 2012 and was sentenced to three year’s imprisonment in August that year.
Schofield was granted a conditional stay of the criminal proceeding on the grounds that he has a terminal illness.