Barry Kloogh (Financial Planning Limited and Impact Enterprises Limited)

Dunedin-based financial adviser Barry Kloogh was offering brokering services to clients through the first defendant, Financial Planning Ltd, and the second defendant, Impact Enterprises Ltd, although neither they nor he was registered to offer broking services. The FMA referred the matter to the Serious Fraud Office in May 2019.

Interim liquidators were appointed in July 2019 after an application by the FMA. The Official Assignee was later appointed as liquidator in August 2019 and is investigating the affairs of two of Mr Kloogh’s companies – Financial Planning Limited (FPL) and Impacted Enterprises Limited (IEL).

• View SFO case webpage

5 October 2023

The FMA issues a report following the case against Barry Kloogh.

This report concerns our enquiries into what services were provided to Kloogh by these third parties. The purpose of this report is to record the FMA’s views and findings on the conduct that was the subject of these enquiries, the law that applies to that conduct, and our actions as a result of our findings.

Download the Report entitled 'Lessons Learned from the Barry Kloogh Ponzi scheme (PDF) (591KB)

3 October 2019

The Official Assignee issued its first report for FPL & IEL.

September 2019

FMA cancels Barry Kloogh’s authorised financial adviser (AFA) authorisation, as a result of concerns regarding compliance with his broker obligations under the Financial Advisers Act 2008.

Mr Kloogh was notified of the FMA’s proposal to cancel his authorised financial adviser (AFA) authorisation, he chose not to oppose it.

The Serious Fraud Office (SFO) is investigating the activities of Mr Kloogh.

Two companies that Mr Kloogh was the sole director of - Impact Enterprises Limited and Financial Planning Limited - were placed into liquidation by the Dunedin High Court on 29 August 2019, following an application by the FMA. The Official Assignee was appointed as the liquidator.

Subject to any Court order to the contrary, the liquidator will, within 25 days of their appointment, send a report to the creditors (and Court) containing a statement of the companies’ affairs, proposals for conducting the liquidation, and, if practicable, the estimated date of its completion. It will also send a notice explaining the right of creditors to require the liquidator to call a meeting. At a creditors’ meeting, the creditors of the companies will be given the opportunity to appoint a liquidator of their own choosing.

August 2019

A hearing to place FPL and IEL into liquidation is set by the Court for 29 August.

If FPL and IEL are placed into liquidation on 29 August, liquidators will be appointed (replacing interim liquidators) and will have the power to deal with the companies’ assets and continue to investigate the affairs of the companies. They will provide their first report to investors and creditors within 25 working days and will seek to arrange a meeting of creditors within 30 working days.

29 August

The Dunedin High Court places FPL and IEL into liquidation. The Official Assignee is appointed as liquidator.

July 2019

• The High Court judgment granting interim liquidation
• Judge’s reasons for interim liquidation

The FMA applies to the Dunedin High Court to liquidate FPL and IEL and to have interim liquidators appointed. The Court grants interim liquidation on 17 July. Interim liquidators from Deloitte are appointed to maintain the assets and investigate the affairs of the companies.

May 2019

• The FMA refers the case to the Serious Fraud Office (SFO) on 13 May, after conducting an initial investigation.
• The SFO executes search warrants on Mr Kloogh’s home and business premises on 23 May.
• The SFO investigation is ongoing and anyone with information can contact the SFO.