Former rich-lister now bankrupt

Auckland property developer David Henderson leaving the Auckland High Court last September. Photo / Steven McNicholl

Auckland property developer David Henderson has been declared bankrupt by an order of the High Court in Auckland.

The order was made by Associate Judge Abbott last night, who refused Henderson's application for an adjournment.

Henderson was trying to avert bankruptcy through a proposal that would drip feed creditors $1.5 million, or about 4c in the dollar, of a $130 million debt over three years.

The one-time rich-lister developed Princes Wharf and other projects including the high-rise Precinct Apartments near Albert Park.

He was one of Auckland's most influential developers, credited with projects worth about $1 billion.

In April Henderson said he had won support for a partial repayment scheme, with backing from 50 per cent of creditors by value and 75 per cent by number to ensure he complied with the law.

Bankruptcy would ruin the plan, he said.

The bankruptcy proceedings were sought by Inland Revenue (IRD), which is owed about $3.6 million, and the Bank of Western Australia, which is owed about $33 million.

Henderson's lawyer Daniel Grove no decision had been made on whether an appeal would be sought.

"We will read the judgment and consider it. If he doesn't appeal it there will be no recovery for any creditors I'm instructed, including the IRD."