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Prison for defrauding finance company of $3.7m

Defrauding a finance company of over $3 million has led to a three year prison sentence for a 52 year old Waikanae man.Alan Edwards Wycherley was sentenced in the Wellington District Court yesterday to three years imprisonment and ordered to pay $30,000.T

NBR staff
Fri, 03 Dec 2010

Defrauding a finance company of over $3 million has led to a three year prison sentence for a 52 year old Waikanae man.

Alan Edwards Wycherley was sentenced in the Wellington District Court yesterday to three years imprisonment and ordered to pay $30,000.

The sentence followed conviction on one charge of conspiracy to use documents to defraud laid by the Serious Fraud Office (SFO).

The charge related to $3.7 million of advances made by Lumley Finance Limited to Mr Wycherley’s company Debt Relief (NZ) Limited. 

Mr Wycherley had previously pleaded guilty partway through a three week trial held in September 2010. Mr Wycherley was also convicted of running a company while prohibited and illegally signing shareholder forms.

From June 2004 through to the July 2006 Mr Wycherley and Keith Mackie, a director and employee of the company, submitted 1,030 loan applications to Lumley Finance on behalf of purported clients of Debt Relief (NZ).

The applications were falsified by Mr Mackie or Mr Wycherley and none of the named borrowers were aware that they had entered into a loan agreement with Lumley Finance. The proceeds of later loans were used to repay the earlier loans, resulting in a net shortfall of $1,248,961.49.

Mr Mackie had pleaded guilty earlier this year and was sentenced to 10 months home detention, community work and ordered to pay $10,000 in reparation.

NBR staff
Fri, 03 Dec 2010
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Prison for defrauding finance company of $3.7m
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