FMA alleged that the directors( Rodney Petricevic, Robert Roest, Bruce Davidson, Gary Urwin and Peter Steigrad) made untrue statements in the investment statements and registered prospectuses, prospectus extension certificates of Bridgecorp and Bridgecorp Investments Limited (BIL). They also made other false or misleading statements in Bridgecorp and BIL documents.
Civil proceedings were also been filed by FMA but stayed pending the outcome of the criminal case. The SFO has also laid charges relating to these companies.
The FMA has consented to an $18.9 million settlement between the receiver of Bridgecorp, the Bridgecorp directors, and their liability insurers. FMA has agreed to end its own civil proceedings against the Bridgecorp directors once the settlement sum has been paid. See media release.
The convicted directors are all subject to automatic five year management bans under s60E of the Securities Act. Mr Davidson is banned until 2 September 2016. Mr Urwin is banned until 9 November 2016. Mr Petricevic, Mr Steigrad and Mr Roest are banned until 5 April 2017.
See COA Judgment
The Court rejected Mr Robert Roest's appeal against conviction and sentence.
See COA Judgment
Peter Steigrad appeal against sentence was dismissed.
Mr Roest was sentenced to six years six months imprisonment. He has appealed his sentence and conviction.
Mr Steigrad was sentenced to nine months home detention, 200 hours community service and $350,000 reparation. He appealed his sentence as well.
Mr Petricevic sentenced to six and a half years imprisonment. See media release.
Gary Urwin sentenced to two years imprisonment, he pleaded guilty on 9 November 2011.
Bruce Davidson pleaded guilty to Securities Act charges and was sentenced to nine months home detention, 200 hours of community work, and payment of $500,000 reparation.
FMA filed criminal charges against non-executive directors on 12 December 2008 and executive directors on 11 May 2009 in the District Court at Auckland.
FMA also filed civil proceedings at the High Court in Auckland under section 55C and related sections of the Securities Act.
Bridgecorp Ltd and Bridgecorp Investments Ltd were placed in receivership in July 2007 with approximately $459 million owing to 14,500 investors.