FMA files criminal charges following investigation into Viaduct and Mutual

News release 
21 March 2014

The Financial Markets Authority has filed charges under the Crimes Act and under the Companies Act against directors and another of Viaduct Capital Limited (in receivership) and Ex-MFL Limited (in Receivership) (formerly Mutual Finance Limited).

The companies went into receivership in 2010. At the time of receivership, Viaduct owed $7.8 million to investors and Mutual owed $9.3 million to investors.

The defendants have been charged with theft in a special relationship under section 220 of the Crimes Act and making false statements in a prospectus under section 242 of the Crimes Act. These charges carry maximum sentences of 7 and 10 years' imprisonment. With respect to Viaduct only,
charges have also been filed under section 377 of the Companies Act in respect of false statements made to Viaduct's trustee, which carries a maximum sentence of 5 years' imprisonment or a $200,000 fine.

The charges are filed against Paul Neville Bublitz (Viaduct and Mutual); Bruce Alexander McKay (Viaduct and Mutual); Richard Timothy Blackwood (Viaduct and Mutual); Lance David Morrison (Mutual only), and one other who is seeking name suppression.

Charges were also filed against Nicholaas Hendrik Wevers (Viaduct). However, Mr Wevers has passed away and those charges are now being withdrawn.

The first appearance has been scheduled in the Auckland District Court on 7 May 2014.

Ends

Contact:
Owen Gill – ph. 021 745 180

Related

Viaduct Capital & Mutual Finance Judgment