Why ban on former bankrupt, NBR Rich Lister, was revoked

A former residential property mogul and NBR Rich Lister who went bankrupt owing more than $5.5 million had a director prohibition order revoked because he undertook to not be a company director anyway.

Last week, NBR reported Don Ha, who claims to have signed up more than $1 billion worth of real estate with his team since 2004, was last month discharged from a bankruptcy that began in 2012.

He was then in January last year banned from being a director for two and a half years but five months later the ban was revoked.

A Companies Office spokesman told NBR Mr Ha was considered for director prohibition because he was a director of multiple failed companies, of which there was at least 10, but last week could not say why the ban was later revoked.

NBR has since obtained the revocation notice, however, which shows Mr Ha’s ban was revoked because he made an undertaking to not be a company director for the period of the original ban anyway.

The original ban lasts until the middle of next year, meaning Mr Ha has consented to not act as a director, promoter or be involved in the management of a company until July, 2016.

A minute says the deputy registrar of companies did not reach the decision “lightly.”

“From operating a real estate company to becoming an employee of someone else may be seen by some people in this situation as a loss of status and refusing to accept the changed circumstances,” the decision says.

“I am impressed that Mr Ha accepted his changed circumstances and set about rehabilitating himself.”

Working hard

Mr Ha made a one-time appearance on the NBR Rich List in 2007 with an estimated worth of $60 million, but by 2011, the real estate agent’s “rags to riches” property empire began to crumble.

Kiwibank was left with outstanding debts of more than $5.8 million in the receivership of Don Ha Real Estate and Mr Ha was subsequently bankrupted in 2012.

Don Ha Real Estate is now trading under a separate entity, where Mr Ha continues to work after resigning as a director and shareholder in March, 2012.

Mr Ha is listed as a salesperson, trainer and mentor in the management section of Don Ha Real estate’s website, which says he has been involved with about 30 “recent sales.”

The Real Estate Agents Authority’s public register shows Mr Ha currently holds a salesperson’s licence, which is different from an agent’s licence in that a salesperson must be supervised when conducting real estate agency work.

Last week, Mr Ha told NBR he was actively focused on real estate.

“I am working hard to re-establish connections within the industry and with clients.

“I do not wish to add anything further at this stage.”

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