Krukziener declares himself bankrupt

Thursday 16th December 2010 1 Comment

Prominent Auckland property developer Andrew Krukziener has declared himself bankrupt.

Krukziener had been fighting an Inland Revenue Department attempt to make him bankrupt but he gave up the battle this week.

He made the bankruptcy declaration to the Official Assignee about midday yesterday and it was confirmed in the High Court in Auckland today.

It follows an offer last month by Krukziener to offer $350,000 to his creditors for a debt of about $47 million.

Eighteen of his 22 creditors agreed but the Inland Revenue Department strenuously opposed the scheme.

It claimed Krukziener owes it more than $6m in taxes. Mr Krukziener disputes this figure.

Krukziener did not appear in person today but his lawyer Bruce Stewart said his client had resigned himself to the fact he could not get permission from the IRD for his proposal.

"In the absence of that accommodation the outcome was inevitable so he's started the process rolling and just wants to get on with it," Stewart said outside court.

NZPA

Comments from our readers

On 17 December 2010 at 8:22 am Garth Hibbert said:

Perhaps now Mr Krukziener will find some of the pain and inconvenience felt by those of us who purchased his Metropolis bonds that turned out to be "scrap paper" Thank you IRD...