KordaMentha takes over Equitable Mortgages receivership
The move occurred because a conflict of interest arose with Deloitte.
KordaMentha has taken over as receiver of Equitable Mortgages Ltd after a conflict of interest arose with Deloitte.
In November, Rod Pardington and David Levin, partners of Deloitte, were appointed as joint receivers. Equitable Mortgages had around 6000 depositors and some $190 million in deposits.
Approximately $178 million of these deposits are covered by the extended Crown Retail Deposit Guarantee Scheme.
Today a statement on the Deloitte website said it came to its attention that continuing as the receiver of Equitable Mortgages may give rise to audit independence issues for Deloitte.
"The relevant issues giving rise to this were not known and, given their nature, could not have been known by us until this was communicated after our appointment.
"We wished to take a conservative view on this matter for the purposes of the auditor independence rules to ensure that we are well within the boundaries of those rules.
"This gave us no choice but to resign our receivership role. KordaMentha have now been appointed as receivers."
NZPA
Thu, 23 Dec 2010
Thu, 23 Dec 2010
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KordaMentha takes over Equitable Mortgages receivership
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