Hubbard made up investments - SFO
Millions of dollars thought to be invested in Allan Hubbard's Aorangi Securities did not actually exist, the Serious Fraud Office alleges.
Millions of dollars thought to be invested in Allan Hubbard's Aorangi Securities did not actually exist, the Serious Fraud Office alleges.
Documents relating to 50 fraud charges laid by the SFO were obtained by the Timaru Herald at the Timaru District Court this morning.
One of the charges read: ''He, with intent to deceive [an investor] made or caused to be made, or concurred in the making of, a false entry in an account. A statement of account for the period 31 December 2009 to 30 June 2010 showing an investment of $5,821,441, when in fact no such investment existed in Aorangi Securities Ltd.''
Another charge related to a different investor's investment of $1.45 million, which the SFO also alleges did not exist, the Timaru newspaper reported.
The SFO charges relate to theft by a person in a special relationship, false statements by a promoter and false accounting.
Charges under the latter two sections carry a maximum term of 10 years' imprisonment.
The charges came a year after Mr Hubbard, 83, his wife Jean, their companies Aorangi Securities and Hubbard Management Funds, and seven charitable trusts were placed in statutory management by the Government.Aorangi Securities owed investors $96 million, while the latest report from statutory managers said there was a shortfall of $31 million in Hubbard Management Funds.
Mrs Hubbard was not charged.
NBR staff
Fri, 01 Jul 2011
Fri, 01 Jul 2011
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Hubbard made up investments - SFO
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