FMA
11/09/2014 15:55
GENERAL
REL: 1555 HRS Financial Markets Authority
GENERAL: FMA: Directors fined for not filing financial statements
Media release
MR No. 2014 - 029
11 September 2014
Directors fined for not filing financial statements
Directors Hayden George Jones and Thomas Alexander George Jones have been
fined $35,000 each for breaches of the Financial Reporting Act 1993 (the
FRA). The Financial Markets Authority (FMA) brought charges on four counts
against both directors for failing to file financial statements. Sentencing
was heard at the Christchurch District Court today.
The directors did not file financial statements for two companies, Heritage
Park Taupo Limited and Prudential Real Estate Investment Limited (PREIL), for
the years ending 31 March 2012 and 2013. PREIL is also the offeror and
manager of two proportionate ownership schemes: Kaipara Harbour Proportionate
Scheme and Investment 179 Proportionate Scheme, which also failed to file
financial statements. Failure to file statements for these two schemes is the
basis for the charges against PREIL. The directors pleaded guilty to breaches
of sections 18 and 38 of the FRA.
Belinda Moffat, FMA Director of Enforcement and Investigations said, "This
sentence sends a strong signal to companies raising funds from the public
that the FMA will take strong action when companies persistently fail to meet
their obligations. We expect issuers of securities to file their financial
statements in an accurate and timely way."
"The information provided in these statements helps investors assess the
financial health of a company. Investors also need this information to make
decisions about the balance of assets in their entire investment portfolio.
The regulators require the information to oversee and monitor firms that
issue securities to the public," said Ms Moffat.
Hayden and Thomas Jones were also parties in the FMA case against Prudential
Mortgage Limited. They are directors of the companies convicted and fined
$2,000 in March 2014 for failing to file an annual report for the
contributory mortgage broking firm.
There are two further cases now remaining before the courts following the
FMA's review of compliance with the Financial Reporting Act 1993.
For more information about FMA's review into non-filing of financial
statements visit fma.govt.nz
ENDS
Contact:
Andrew Park
09 967 1215
021 220 6770
[email protected]
End CA:00255142 For:FMA Type:GENERAL Time:2014-09-11 15:55:05
