Rod Petricevic (L) and Robert Roest in court in July. Photo / Kenny Rodger
Rod Petricevic (L) and Robert Roest in court in July. Photo / Kenny Rodger
KEY POINTS:
Two new charges carrying the threat of imprisonment were laid against Bridgecorp executive director Rod Petricevic in court this morning.
Petricevic appeared alongside co-accused Bridgecorp executive director Robert Roest in the Auckland District Court.
The pair were charged under the Securities Act with signing a prospectus that saiduntrue things as well as a mis-statement in an advertisement.
They previously faced another two charges under the Securities Act and one under the Companies Act.
Outside court, crown solicitor Mark Woolford told waiting reporters the new charges related to a default payment of principal and interest to investors.
He said while the previous charges carried a fine, the new charges carried a maximum penalty of five years imprisonment.
The pair were remanded on bail until October 21 when they will re-appear in the Auckland District Court.
The finance company Bridgecorp collapsed last year when it was put into receivership in July, owing 14,500 investors almost $460 million.
In a statement released after today's court hearing, the Securities Commission said the new charges arose from claims in the Bridgecorp prospectus about the company's record of making payments to investors.
It said that charges were laid by the Companies Office at the request of the commission, following further investigations into statements in the prospectus.
The charges were laid under section 58 of the Securities Act which makes it an offence to distribute a prospectus containing an untrue statement.
The charges alleged that the company missed many payments from February 2007 until it was placed in receivership in July 2007, but continued to claim to the contrary in its prospectus.
The commission said it was continuing inquiries into Bridgecorp and other finance companies.
The prosecution is separate to a Serious Fraud Office investigation.
