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SFO leaves Kiwi Finance to Securities Commission


The Serious Fraud Office (SFO) has decided not to pursue a criminal prosecution against Kiwi Finance, saying an administrative or civil proceeding could get a better outcome given the small scale of the case.

NBR staff
Mon, 18 Apr 2011

The Serious Fraud Office (SFO) has decided not to pursue a criminal prosecution against Kiwi Finance, saying an administrative or civil proceeding could get a better outcome given the small scale of the case.

Kiwi Finance was placed into receivership in April 2008 owing approximately 42 investors $1.7 million. The SFO launched an investigation last November, working with the Securities Commission.

And today, the SFO said that having considered the scale and nature of the alleged conduct it believed a civil or administrative remedy provided some opportunity for compensation of depositors.

"The Securities Commission has powers and functions that enable such an outcome, and this is a case which seems best suited to application of those powers," SFO director Adam Feeley said.

The SFO's decision was conditional on the commission being able to reach a satisfactory outcome.

"If, for any reason, the commission is unable to reach a suitable resolution within a reasonable time, we will reassess our position and may re-open the investigation."

NBR staff
Mon, 18 Apr 2011
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SFO leaves Kiwi Finance to Securities Commission
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