Two more trusts set up by Allan Hubbard have been placed into statutory management this evening.The trusts are Temple Bar Family Trust, established in 1983 by Mr Hubbard and Barns Charitable Trust, established in March this year.The move follows a report
Two more trusts set up by Allan Hubbard have been placed into statutory management this evening.
The trusts are Temple Bar Family Trust, established in 1983 by Mr Hubbard and Barns Charitable Trust, established in March this year.
The move follows a report to the Securities Commission from statutory managers investigating Mr Hubbard’s leading lending vehicle Aorangi Securities – put into statutory management along with Mr Hubbard and his wife Margaret and seven charitable trusts, on June 20.
Mr Power advised the cabinet of his recommendation today and the Governor-General made the Order in Council.
Both trusts hold company shares that are recorded as assets in the financial statements of Aorangi.
Mr Power said the decision had been taken pursuant to section 38 of the Corporations (Investigation and Management) Act 1989, and was effective from 5pm today.
“The Securities Commission recommended the trusts be placed under statutory management to preserve the interests of the creditors of Aorangi, in the public interest and to enable the affairs of the corporations to be dealt with in a more orderly or expeditious way. It was satisfied that those interests could not be adequately protected any other way."
The Securities Commission consulted Mr Hubbard's legal representatives before it made its recommendations and they were told about the decision this afternoon.
Graeme McGlinn has been made an additional statutory manager of all corporations connected to Mr and Mrs Hubbard, including Temple Bar Family Trust and Barns Charitable Trust.
Mr McGlinn has been part of the Aorangi statutory management team and joins Richard Simpson and Trevor Thornton as statutory managers.
