Twelve years on, Hanover co-founders Hotchin and Watson buy slice of exclusive Fiji island

Vomo Island is where Mark Hotchin celebrated his 50th birthday while investors anquished over their frozen funds.

This article has been updated to make it clear that Fiji Holiday Corporation has no connection to the business of Vomo Island Resort.

Former Hanover co-owners Mark Hotchin and Eric Watson have acquired a slice of Fiji paradise, buying a small share in a property on the exclusive Vomo Island north of Nadi.

Companies Office records show the duo acquired an eight per cent stake in Fiji Holiday Corporation from PGC managing director George Kerr on December 20.

A spokesman for Kerr confirmed the company owns property on Vomo.

Former Hanover co-owners Eric Watson, left, and Mark Hotchin in 2006/2007. Photos / File

"It's a small company that owns a small amount of property on Vomo," he said.

The shares are jointly held by Hotchin and Elizabeth Equities, one of Watson's investment vehicles.

Fiji Holiday Corporation was registered in Fiji for tax purposes in April 2006.

The company's main shareholders are South Island businessman Graham Wilkinson and interests associated with Kenneth Cummings.

Kerr's Galt Nominees still holds a 28.33 per cent shareholding, according to company records.

Fiji Holiday Corporation has no connection to the business of Vomo Island Resort, which is owned by Vomo (NZ) Ltd, whose shares are held by a consortium of Kiwi investors.

Wilkinson has been involved in various hospitality properties in New Zealand and overseas. He was unavailable for comment.

Hotchin and Watson could not be reached for comment.

The pair owned the Hanover group of finance companies that froze investor funds in 2008 during the global financial crisis.

Hotchin was heavily criticised for having his 50th birthday party at Vomo's luxurious resort just days before debenture holders voted in support of an ill-fated restructuring plan designed to return their principal without interest over five years.

However, the plan failed and Hanover's property loan assets were later sold to Allied Farmers in 2010.

Investors owed $554 million suffered massive losses when Allied Farmers was unable to recover the loans on property assets Hanover leant to.

Hotchin has since built up a sizeable property portfolio with real estate stretching from Waiheke Island near Auckland to Arrowtown in Central Otago.

Watson, meanwhile, appears in financial trouble following an expensive legal stoush with Sir Owen Glenn.

Last month a court heard that he didn't have the assets to pay Glenn $54m that an English judge ordered him to hand over.

That was after the High Court in England and Wales ruled Watson had engaged in "deliberate deception" when he and Glenn set up a joint venture investment company, in which the latter ploughed about $250m into.