FMA investigation into Strategic had found that the directors( Kerry Finnigan, Graham Jackson, Marcel Lindale, Timothy Rich, Denis Thom, David Wolfenden) are likely to have breached the Securities Act by making untrue statements in a registered prospectus, investment statement and in an advertisement between March 2008 and August 2008.
FMA and the Receivers of Strategic, John Fisk and Colin McCloy of PwC, have finalised a settlement with the directors and auditors of Strategic. Under the terms of the settlement, the directors and auditors will pay to the Receivers of Strategic $22 million. As part of the settlement, the directors have provided FMA with an enforceable undertaking. See media release.
The investigation into Strategic Finance Limited concluded, with FMA forming the view that six of the company's directors are likely to have breached the Securities Act. See media release.
Between August 1999 and August 2008 Strategic Finance Limited (Strategic) carried on the business of providing finance and other financial services, primarily to the property sector.
On 7 August 2008 Strategic placed a trading halt on all its securities. Trading of Strategic’s securities did not resume after the trading halt. In December 2008 Strategic went into Moratorium. In March 2010 Strategic went into receivership. Strategic’s failure affected approximately 11,000 investors with a loss of $383m.
Let us know what you think
Did you find this page useful?