Hamish Fletcher

Business reporter for the NZ Herald

Financial advisor Ross out of hospital

Hundreds of millions of dollars is apparently missing from David Ross' firm Ross Asset Management. Photo / Mark Mitchell
Hundreds of millions of dollars is apparently missing from David Ross' firm Ross Asset Management. Photo / Mark Mitchell

Embattled Wellington financial advisor David Ross has been released from hospital.

According to a statement from law firm Chapman Tripp, which is acting for Ross, "he has been receiving compulsory treatment under the Mental Health Act in hospital for the past three weeks".

"Ross has now undertaken to cooperate fully with the Financial Markets Authority (FMA), the receivers, and the Serious Fraud Office," the statement said.

The financial advisor's well-established firm, Ross Asset Management, is in the hands of receivers who are attempting to unravel its affairs and find hundreds of millions of dollars of apparently missing money.

See the receivers' first report on Ross Asset Management here.

Receivers PwC have identified just $10.6 million of the $449.6 million the Wellington advisor was believed to be controlling.

PwC partner John Fisk says he found "characteristics of a Ponzi scheme" during the course of his investigation.

The almost half a billion dollars apparently owed to investors is likely based on fictitious or exaggerated returns which clients were told they were entitled to, PwC says.

- NZ Herald

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