Sharechat Logo

FMA expects to reach settlement with Prince and Partners Trustee Co shortly

Monday 21st August 2017

Text too small?

The Financial Markets Authority expects to shortly reach a settlement with Prince and Partners Trustee Co just as civil proceedings kick off in the Auckland High Court.

"The parties have been in settlement discussions and the matter is likely to settle. Any settlement agreement is subject to the court’s approval," an FMA spokesman said in emailed comments. 

Prince and Partners Trustee Co was the trustee for finance company Viaduct Capital, which collapsed in 2009 owing 110 investors some $7.8 million. 

The civil proceedings against Prince and Partners Trustee Co were brought by the FMA under section 34 of the Financial Markets Authority Act in 2014, when it opted to exercise the rights of action of investors not covered by the retail deposit Crown guarantee and the New Zealand Treasury. 

The markets regulator alleges Prince and Partners Trustee Co breached its obligations to Viaduct investors and to the Treasury under the guarantee. The claim alleges Viaduct's conduct "resulted in loss to individual investors and to the Treasury under the Crown guarantee, to which Viaduct was a party."

The FMA spokesman declined to give any detail on the amount involved or any other conditions, such as Prince and Partners admitting liability.  "We will comment more fully when this process is complete," he said. 

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Chorus sees growth in high value gigabit fibre plans
Arvida gets 87% uptake in $92 mln rights offer
NZ dollar weakens after US retail sales boost greenback
17th July 2019 Morning Report
Dairy product prices gain for first time in five auctions
MARKET CLOSE: NZ shares fall in listless trading; power companies gain
Gold Report 16th July 2019
NZ dollar rises after CPI meets expectations; US dollar weakens
Yili's Westland takeover gets OIO approval
Govt eyes 2025 for farm-level emissions pricing

IRG See IRG research reports