Rodney McCall and Morgan Cooper Limited

Background

The FMA alleges Mr McCall and his company, Morgan Cooper Limited, contacted investors to promote a foreign exchange investment service which did not exist. He obtained just under $100,000 from the people he contacted. Neither he, nor his company was authorised or licensed by the FMA, but he held out he would invest funds on their behalf.

Mr McCall also obstructed the exercise of the FMA’s powers during the investigation, by giving false evidence in purported compliance with a notice issued to him under section 25 of the Financial Markets Authority Act 2011.

December 2020

Mr McCall sentenced in the Manukau District Court to 12 months’ home detention and to repay victims $70,031.

June 2020

Mr McCall plead guilty to, two representative charges of obtaining by deception under section 240 of the Crimes Act 1961; One representative charge of dishonestly using a document under section 228 of the Crimes Act 1961; and Two charges of obstruction of the FMA’s powers under section 61(1)(b) of the Financial Markets Authority Act 2011.

The FMA filed 21 charges against Mr McCall in May 2019, which have been grouped as representative charges.

Mr McCall cold called people and convinced them to ‘invest’ by transferring money into bank accounts he controlled, obtaining just under $100,000 from the people he contacted. The investments made to him were instead spent by him on personal expenditure.

The initial investors were also investors in PTT Limited, which Mr McCall used to work for. PTT’s director, Steven Robertson, was last year sentenced to six years, eight months’ imprisonment and his appeal to reduce his sentence was rejected by the Court of Appeal last week.

After incorporating a company, Morgan Cooper Limited, Mr McCall contacted other investors to promote a foreign exchange investment service which did not exist. Neither he, nor his company was authorised or licensed by the FMA, but he claimed he would invest funds on investors’ behalf.

Mr McCall also obstructed the exercise of the FMA’s powers during the investigation by providing false evidence in purported compliance with a notice issued to him under section 25 of the Financial Markets Authority Act 2011.

The FMA said this was an important case because Mr McCall preyed on vulnerable people, including re-victimising those who had invested with PTT Limited, purporting to offer a legitimate investment prospect. This was compounded by Mr McCall’s obstruction of the FMA’s investigation, which led to additional charges.

9 August 2019

Name suppression on Rodney McCall and his company, Morgan Cooper Limited, was lifted on 8 August.

29 May 2019

The Financial Markets Authority has charged Mr McCall with offences under the Crimes Act and the FMA Act at the Manukau District Court. A first hearing is scheduled for 12 June 2019.

Rodney McCall, also known as Rodney Crichton, has been charged with:

• 16 charges of obtaining by deception under Section 240 of the Crimes Act 1961
• 3 charges of dishonestly using a document under Section 228 of the Crimes Act 1961
• 2 charges of obstruction of the FMA’s powers under Section 61 (1) (b) of the Financial Markets Authority Act 2011.

The maximum penalty for the Crimes Act charges is 7 years imprisonment. The maximum penalty for obstruction of the FMA’s powers is a fine of $300,000.

The FMA alleges Mr McCall contacted people and convinced them to ‘invest’ by transferring money into bank accounts he controlled. After incorporating a company, Morgan Cooper Limited, he further cold-called other investors to promote a foreign exchange investment service which did not exist.

He obtained just under $100,000 from the people he contacted. Neither he, nor his company was authorised or licensed by the FMA, but he held out he would invest funds on their behalf.