Blue Chip property investment group co-founder Mark Bryers has apologised to investors, many of whom lost large sums when the group was put into liquidation, and says he has put in place a scheme to compensate former clients.
"I am not asking for forgiveness," Bryers said in statement.
"But as
a matter of conscience I feel it is entirely appropriate that the least I can do is offer my unreserved and deepest apologies."
He said he had devised a scheme which aimed to compensate those former investors who paid a deposit and did not receive a property.
The scheme had been put forward to the board of Northern Crest Investments, and was subject to agreement and shareholder approval, he said.
Yesterday Bryers was fined $37,500, ordered to pay $780 in court costs and also ordered to complete 75 hours of community work when he was sentenced on 34 charges in Auckland District Court.
Bryers was understood to be earning up to $12,000 a month in Sydney as a consultant to Northern Crest Investments.
He said today that even though his financial position was catastrophic "my resolve to setup and deliver compensation to those former clients is absolute. While it will take some time, I will deliver on that promise."
He blamed the collapse of Blue Chip on the unexpected demise of local financial markets and finance companies which was followed by the collapse of global financial markets.
He claimed Blue Chip had over 4000 clients but only around 300 had been adversely affected.
"My present position is that I am bankrupt; I am banned from being a director/officer, or being involved in the management of a company in both Australia and New Zealand. I have no assets and my affairs are now overseen by the insolvency section of the Ministry of Economic Development (MED).
"My present employment and earning status is uncertain and will require the specific approval of the official assignee of the MED. I am presently being financially supported by friends."
- NZPA
