FMA welcomes Belgrave Finance sentencing

Media Release
30 August 2012

The Financial Markets Authority has today welcomed the sentencing of former Belgrave Finance director Shane Buckley.

Mr Buckley was sentenced to three years in prison after he pleaded guilty to 25 charges under the Securities Act, Crimes Act and the Companies Act. The charges were laid by FMA and the Serious Fraud Office in a joint prosecution.

Mr Buckley admitted making untrue statements in documents offering securities to the public, and making a false or misleading statement to the trustee appointed to safeguard the interests of investors in Belgrave secured debenture stock.

"Today's sentencing reinforces the sad conclusion that some former finance company directors were not fulfilling their obligations to investors to the standard required in law," said FMA Head of Enforcement Belinda Moffat.

Belgrave Finance Limited was placed into receivership in May 2008 owing approximately $20.4 million to around 1000 investors.

The prosecution of another Belgrave director, Stephen Smith, and an associate, Raymond Schofield, continues with a trial dates yet to be set. They face similar charges to Shane Buckley.

Ends

Contact:

Tony Reid on 021 739 052 or tony.reid@fma.govt.nz