Registrar to discuss statutory management with Jean Hubbard
The Registrar of Companies, Neville Harris, will consult with Jean Hubbard and her advisers before making a final decision on the future of her statutory management following Allan Hubbard’s death last weekend.
Mr Harris said at the time of Mr Hubbard’s death he had been considering whether to advise the government to release either of them from statutory management.
He had been considering the Hubbard's response to a report he had commissioned on the statutory management by former National Bank head John Anderson and Deloitte insolvency specialist Rod Pardington.
"Mr Hubbard's death changes the position in a number of respects. It will now be necessary to consult with Mrs Hubbard and her advisers before this review can be completed,” Mr Harris said.
“Once a conversation is held with Mrs Hubbard, at an appropriate time when she is ready, I would expect it will be possible to complete that consideration, consult with the reviewers, and provide advice to the Minister in a week to ten days.”
Mr and Mrs Hubbard and several of their companies were placed in statutory management in June last year following a complaint to the Securities Commission from an investor in Aorangi Securities.
The Hubbards were about to challenge the statutory management with judicial review proceedings scheduled to be heard at the High Court in Timaru next month.
The Serious Fraud Office is dropping a prosecution case against Mr Hubbard involving 50 criminal charges relating to Aorangi Securities.
"The position of Aorangi Securities Limited and Hubbard Management Funds is complicated and investors have suffered losses, Mr Harris said.
“It is not yet clear where all of those losses will fall.”
Mrs Hubbard, who was a director of Aorangi and had a number of other involvements in other trusts and companies, needed to be involved in the first stages of the statutory management, he said.
“Circumstances have now changed but under the Corporations (Investigation and Management) Act the main focus, and my first priority, must be the interests of the investors as creditors."