Last of South Canterbury Five named

Suppression orders preventing the naming of former South Canterbury Finance directors Edward Sullivan and Robert White, charged with $1.7 billion of fraud, have lifted.

The suppression orders expired in the Timaru District Court this morning.

Mr Sullivan and Mr White have been charged by the Serious Fraud Office along with former South Canterbury chief executive Lachie McLeod and company accountants Terrence Hutton and Graeme Brown.

The charges relate to the alleged disguise of related-party loans that breached the company’s trust deed and the government guarantee and resulted in $1.58 billion paid out of public funds to depositors and bondholders.

Transactions facing scrutiny by the SFO include the infamous Hyatt hotel ownership shuffling first broken by the National Business Review, the purchase of Wool Services International shares, claims of $150 million of allegedly lapsed banking facilities in prospectuses and loans involving Kelt Finance and Dairy Holdings.

Mr Sullivan, a layer, is facing the most charges: two counts of theft by a person in a special relationship; five of false statements by a promoter ,and; two of obtaining by deception.

Mr White, a retired accountant and director, is charged with one count of theft by a person in a special relationship, two of false statements by a promoter and one of obtaining by deception.

Mr McLeod faces two charges of theft by a person in a special relationship, two of false accounting and one of obtaining by deception.

Mr Hutton has been charged with two counts of false accounting.

Former South Canterbury chief financial office Mr Brown faces one charge of false accounting.

Messrs McLeod, Hutton and Brown - who all relinquished name suppression in advance of Monday's hearing - have maintained their innocence and say they will fight the charges.

Media were this morning reporting statements from the lawyers of Mr Sullivan and Mr White that they too contest the charges.

The charges of theft by person in a special relationship and obtaining by deception carry maximum penalties of seven years in prison and false account charges carry penalties of up to ten years imprisonment.