One of the two men on trial accused of scamming two Tauranga women of $645,000 denies receiving "kickbacks" for his part in an alleged investment scam.
Murray Bryon Provan, 73, made the denial while giving evidence during his jury trial in the Tauranga District Court yesterday.
Provan has pleaded not guilty to two charges of obtaining by deception and his co-accused, Robert Ian South, is defending two charges of theft in a special relationship.
The Crown alleges the pair led Gay Rowling and Barbara Gilmer to believe they were investing their funds in shares in a software company of which South was a director.
Instead of a promised huge return on their investment, the two defendants spent the money on themselves, the Crown prosecutor said.
This included Provan buying bonus bonds and paying his mortgage, while South used some of the funds to repay a loan for a knee operation, pay rent and buy a spa pool.
Provan said any discussions with the complainants were "only possible scenarios" and
decisions about investing were solely between South and the women.
Financial Markets Authority senior investigator Andrew Scheepers told the court a total of $104,000 in deposits were made to two bank accounts linked to Provan.
Most of the $104,000 were loans to be paid back to South, Provan claimed.
Provan said he had no reason to doubt these deposits were not legitimate funds as South was an "honest and genuine person" who he trusted "99 per cent of the time".
Crown prosecutor Richard Jenson put it to Provan the investment concept he presented to the women was "all nonsense" and a scam.
"It was really mumbo-jumbo and just psychobabble and you knew there was no company, no product coming to market, no shares and you knew their money was not safe."
Provan vehemently denied the Crown's proposition that he had received "kickbacks" from South for his role in this alleged deception scheme.
He told the court he still believed South would make good on the women's investment.
South elected not to give evidence nor call witnesses.
During his closing address, Jenson said the jury could be satisfied of the accused's guilt on all charges.
Provan's lawyer, Tony Richard-Simms, told the jury the Crown prosecution had "fallen short" in proving its case beyond reasonable doubt and his client should be found not guilty on both charges.
South's lawyer, Bill Nabney, told the jury his client believed the two women were investing in him and his software concept and the discussions held were about future share allocations.
At no point did South knowingly attempt to deceive the two complainants, and the jury must find him not guilty on both charges, Nabney said.
The trial continues today.