Ponzi scheme fraudsters Aroha Tuira (left) and Alex Tuira (right) at sentencing in the High Court at Christchurch. Photo / Iain McGregor / Pool
Dozens of people suffered “devastating” heartbreak after discovering they had been scammed out of millions by a couple they trusted with their savings.
Some of those people have now confronted fraudsters Alex and Aroha Tuira about their litany of lies involving nearly $4 million and more than 55 investors.
The couple’s dishonesty finally came to an end as the pair stood in the dock in the High Court at Christchurch today.
The public gallery was packed as multiple victims spoke of the suffering the couple had caused them.
One by one they told the court of deception and stolen savings.
“Aroha and Alex gave us their word they would back us; their lies were crushing,” one victim said.
One family said they were left homeless because of the lies. They said their children, aged 11 and 9, wanted to give their parents their combined pocket money when they found out about the couple’s deception.
Another family said they were ashamed and embarrassed when they found out about the lies.
“Looking back, we were groomed, spun a false lie.”
Some of them spoke of deception after decades-long friendships with the couple.
“They didn’t just take my money; they stole my dreams,” one said.
“My life is unrecognisable compared to what I had planned for my family.”
The couple portrayed themselves as experienced, well-connected investors able to deliver returns for clients, when in reality they were not investing the funds or operating an investment business at all.
Instead, they used a Ponzi-type arrangement, paying some investors using funds from others and spending money on personal and business expenses.
They primarily targeted members of the te ao Māori community and developed close personal relationships with the investors, many of whom had limited prior experience with investing.
It was done through their companies Ngākau Aroha Investments Ltd and Power To Me Aotearoa Tapui Ltd.
Their offending occurred between May 2014 and May 2021, deceptively obtaining $3.9m through 104 transactions.
The High Court was set to hear their cases during a judge-alone trial in August, but the couple have now admitted charges of obtaining by deception.
Justice Jonathan Eaton said it was a joint exercise in which the couple worked as a team to identify investors.
“You welcomed investors as friends into your house.”
Together the couple inflated their own wealth to deceive investors, the judge said.
They spent hundreds of thousands of dollars on international travel.
The couple would provide investors with “agreements”, often putting pressure on them to sign up, only to give false explanations when investors later raised questions.
“It has been devastating,” Justice Eaton said.
The Serious Fraud Office announced in November 2021 it had executed search warrants as part of its investigation into the couple.
Archived websites for Power to Me described an operation as founded and run by Alex Tuira that provided “successful strategies for personal empowerment and financial literacy”.
Tuira listed a range of self-help programmes as his primary qualifications, including courses by Tony Robbins, Robert Kiyosaki and Jordan Belfort, also known as the Wolf of Wall Street.
Companies Office records showed there were 34 shareholders in Power to Me Aotearoa Tapui, including a 5.31% holding by former Ngāi Tahu chief operating officer Julian Wilcox and several parcels held by members of former Ngāi Tahu chairman Sir Mark Solomon’s family.
Justice Eaton sentenced Alex Tuira to six years and four months’ jail.
Aroha Tuira was sentenced to five years and two months’ jail.
“It is so clear that the offending went far beyond financial loss,” Justice Eaton said.
The judge did not make a reparation order.
Serious Fraud Office director Karen Chang later thanked the witnesses and victims who came forward to support the investigation.
“Their co-operation and willingness to engage were critical to achieving today’s outcome,” she said.
“Ponzi schemes cause deep and lasting harm to victims, many of whom lose not only their money but also their trust in others,” Chang said.
“The guilty pleas meant those affected were spared the stress of a trial, and today’s sentences hold the offenders to account for the significant harm they caused.”
Al Williams is an Open Justice reporter for the New Zealand Herald, based in Christchurch. He has worked in daily and community titles in New Zealand and overseas for the last 16 years. Most recently he was editor of the Hauraki-Coromandel Post, based in Whangamatā. He was previously deputy editor of the Cook Islands News.