LDC Finance's Harding, Schofield get lifetime ban over securities offer

Friday 16th July 2010

Two Nelson businessmen who owned the majority of failed financier LDC Finance have agreed to a life ban on being directors after they offered securities without any paperwork.

Andrew Harding and Murray Schofield admitted their Finance & Investments partnership operated as a finance company open to the public by providing loans and accepting deposits without having a registered prospectus or investment statement.

They accepted an enforceable undertaking by the Securities Commission that neither of them will, “at any time in the future,” act as a director or manager of a New Zealand company, nor will either promote a securities offer to the public.

F&I was sent to the receivers in 2007 owing $16 million to 370 investors, following LDC, which owed 1,200 investors about $22 million.

Last year, part of the F&I loan book was snapped by the beleaguered South Canterbury Finance.

Businesswire.co.nz

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