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Home / Business / Companies / Banking and finance

Jailed Belgrave finance company lawyer appeals sentence

NZ Herald
9 Feb, 2015 07:45 PM3 mins to read

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Hugh Hamilton. Photo / Sarah Ivey

Hugh Hamilton. Photo / Sarah Ivey

A former North Island mayor who intentionally facilitated crime by providing legal help is appealing his sentence of four years nine months' jail.

Hugh Edward Staples Hamilton, who did legal work for failed finance company Belgrave, was in May guilty on 14 charges of theft by a person in a special relationship and jailed later that year.

Belgrave's 2008 collapse left more than 1200 investors $22 million out of pocket.

A former partner of DAC Legal who was struck off as a lawyer in 2013, Hamilton advised Belgrave Finance until its receivership.

Read also:
• Jail sentence for ex-Mayor over Belgrave failure
• Belgrave lawyer found guilty of theft

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He served as mayor Central Hawke's Bay mayor for six years and was Waipukurau Rotary Club president.

Hamilton is appealing his four year nine month jail sentence today in Wellington, his lawyer Jonathan Krebs said.

Krebs was not willing to discuss what his submissions would be for the appeal, which be made for the appeal which is before Justice John Wild, Forrest Miller, and Alan MacKenzie.

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Hamilton's trial and what the judge found:

An SFO forensic accountant said Belgrave made around $12 million of loans to entities effectively controlled by property developer Raymond Schofield.

Those loans breached Belgrave's debenture trust deed, the rules dictating the terms and conditions between investors and the company accepting the funds.

For the theft charges Hamilton was found guilty of, he was accused of helping Schofield and Belgrave directors Stephen Smith and Shane Buckley with those loans and was therefore a party to their offending of theft by a person in a special relationship.

Discover more

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Belgrave lawyer 'following instructions'

04 Mar 12:40 AM
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04 Mar 04:30 PM
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15 Apr 10:00 PM

For those charges to stack up, the Crown had to prove Hamilton helped with the breaches, was aware of the offending and intended to assist with it.

The Crown's main allegation for those charges was that Hamilton assisted by receiving a portion of the loans in question into DAC Legal's Trust account.

Justice John Faire said last May when delivering his verdicts that Hamilton assisted with the offending by carrying out instructions to execute related-party loans.

The judge also said Hamilton had knowledge of the offending: "The surrounding circumstances make it entirely implausible that Mr Hamilton was not aware of the offending. On the evidence there is no doubt that, at the very least, Mr Hamilton was wilfully blind to the relevant elements of the offending," he said.

"Having found that Mr Hamilton had the relevant knowledge of the offending, I am satisfied beyond reasonable doubt that he intended to assist in the offending ... in light of his knowledge Mr Hamilton knew that his legal assistance was resulting in related-party lending," the judge said.

"Whatever his motive, Mr Hamilton was aware of what the legal documents and trust account were being used for, and intentionally facilitated the crime by providing such legal assistance."

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