Fraud charges for development project
Thursday 16 February 2017
The Serious Fraud Office (SFO) announced today that charges against four people involved in an Auckland development have been filed at the Auckland District Court.
The four defendants each face four charges of “Obtaining by deception” and two charges of “Using forged documents” under the Crimes Act.
Name suppression has been lifted on two of the defendants and was not sought by another.
The defendants in the matter are property developer Leonard John Ross, company director Michael James Wehipeihana, self-employed consultant Vaughn Stephen Foster and one other.
It is alleged that the defendants made false statements and used forged documents in order to obtain a credit facility from the ANZ Bank New Zealand Limited.
This was to allow property development company Emily Projects Limited, which no longer exists, to develop the Waldorf Celestion Apartment Hotel in Auckland.
It is alleged that a loan facility of approximately $40 million was obtained.
SFO director Julie Read said the SFO alleges that the defendants conspired to mislead ANZ to secure a loan facility.
“The banks are entitled to expect that businesses will provide accurate information in support of their loan applications and a failure to do so may have cost implications for all.”
Comments from our readers
No comments yet
Sign In / Register to add your comment
Coastal suburbs dominate Barfoot & Thompson’s latest list of Auckland’s top 20 hot growth spots, indicating a shift away from the traditional inner-city favourites.
Attention has been focused on the business risks seismic events can pose since last year’s Kaikoura earthquakes – and yet many people are still unclear about what they need to do.
Here is what Reserve Bank governor Graeme Wheeler had to say about interest rates today.