CORRECTED: QCs eye brimming honeypot as white collar cases go to trial in 2011

CORRECTION: Today's version of this article in NBR print contained a picture of a Bruce Davidson facing court action next year. The wrong picture was printed. The Bruce Davidson shown on page 13 is not the one referred to in this article and is not facing any court action or complaints. NBR unreservedly apologises for the error.

Top lawyers face a bumper earning season next year as many lengthy white collar cases go to trial.

Among those preening up for cut and thrust – and to pocket big fees – in the High Court are leading Auckland Queen’s counsel Paul Davison, Julian Miles, Jim Farmer, Alan Galbraith, Stephen Mills, Bruce Stewart, Bruce Gray and David Jones.

Insiders predict fees on most major cases working toward trial would already be in the hundreds of thousands of dollars.

QCs can command a private fee of $50,000 for relatively straightforward work.

In what is expected to be its busiest year ever, the Auckland High Court – which has 15 courtrooms – will be buzzing with complex and lengthy legal wrangles involving in most cases, what happened to hundreds of millions of lost investor dollars.

This includes some cases which have been in the investigative and pre-trial pipeline for three years.

Prosecutors pick the “Big 2” in 2011 will be the Bridgecorp and Nathans Finance criminal trials, set down for three and two months respectively.

Celebrity criminal trial of year is certain to be the Lombard Finance & Investment prosecution in the Wellington High Court, where accused directors include former high-ranking cabinet ministers, Sir Douglas Graham and Bill Jeffries, and Masterton-domiciled ex-spin doctor to the Queen, Lawrie Bryant.

Leading QC Paul Davison will defend Sir Douglas in the Lombard case in October and Roger Moses in the Nathans Finance trial in March.

Lombard chief executive Michael Reeves is also charged.

The Securities Commission alleges Lombard’s offer documents and advertisements misled investors by misrepresenting the investment risks, especially in relation to liquidity, the quality of the loan book, adherence to credit policies and the company’s overall financial position.

Charges are laid indictably under s58 of the Securities Act and carry a maximum penalty of five years’ jail or fines of up to $300,000, plus $10,000 for every day the offence is continued.

In civil proceedings the commission wants declarations of civil liability and civil penalties of up to $500,000 against each of the Lombard directors.

Most criminal trials involving finance companies also have civil proceedings pending the outcome of the criminal cases.

QC Jim Farmer will defend Cathay Pacific at a six-week Auckland High Court trial beginning in May against Commerce Commission allegations that 10 airlines fixed prices in relation to fuel and other surcharges.

Mr Farmer, acting for Todd, then goes into a two week Court of Appeal appeal by Todd against Justice Robert Dobson’s dismissal of Todd’s collusive conduct claim against Shell and OMV, its joint venture partners at the Pohukura gas field in Taranaki.

In September Mr Farmer switches camps to appear for the Commerce Commission at the Court of Appeal against a major Telecom judgment.

Telecom has appealed an Auckland High Court finding it priced access to its network above competitive levels and thereby impeded competition in the high-speed data transmission market.

An Auckland High Court penalty hearing in that case, in which the commission sought a penalty against Telecom in the range of $20-25 million was adjourned for a reserved decision expected in the new year.

More familiar in the defamation courts, QC Julian Miles acts for the Commerce Commission in a multi-million dollar cardboard packaging price-fixing case against Australian-based mega-company Visy.

Defence lawyers in that case, which is awaiting an Auckland High Court reserved decision on jurisdiction, include QC’s Alan Galbraith and Stephen Mills.

One of the biggest and most complex legal cases – still unlikely to go to trial until 2012 – is the Commerce Commission international freight price fixing case against 13 airlines, including Air New Zealand.

Expected to run for six months, that case involves at least 29 lawyers, including six QCs.

On the common criminal front, an expensive case expected to attract interest is the Urewera 18 trial of people accused of illegal possession of firearms and explosives and belonging to a criminal group.

Already said to have cost several millions of dollars in secret pre-trial hearings alone – the three-month Urewera “terrorist raids”case is set down to start in the Auckland High Court in May.