Business

Director involved in $176m collapse wants luxury detention

The Remuera house in which convicted Dominion Finance director Ann Butler wants to serve a home detention sentence.
The Remuera house in which convicted Dominion Finance director Ann Butler wants to serve a home detention sentence.

A DIRECTOR of Dominion Finance, which lost investors more than $176 million, wants to serve home detention in her $6.8 million Remuera mansion.

Company director Ann Butler was one of six directors of Dominion Finance when it went under in 2008.

Butler pleaded guilty yesterday to seven Securities Act charges of making untrue statements in a prospectus and investment statements.

Shortly before proceedings started in the High Court at Auckland, she asked the security guard if she could get her tissues from her handbag.

The 64-year-old answered "guilty" in a steady voice as each of the seven charges was read out by the court registrar.

Justice Robert Dobson convicted Butler and called for a report on her assets. It is understood the Crown will be seeking reparations for investors.

She was remanded on bail for sentencing next month.

Her lawyer, Tim Mullins, asked that a report be prepared on the suitability of Butler's home as a place to serve a home detention sentence.

Butler left court with a supporter and returned to the Remuera home, which she part-owns with fellow Dominion director Robert Whale, according to the property's title.

The house has been on the market for more than a year, a real estate agent said. The advertising bills it as "Paradise on offer here", with four bedrooms, parking for five cars, a wine cellar, a home theatre and a library.

Dominion Finance investor Owen Hoddinott said he hoped Butler's home would be sold and the money shared among investors.

Mr Hoddinott, who lost $100,000 of his retirement savings, said the idea of Butler living in a "plush place" did not sit well with investors.

"Why not somewhere less expensive?"

The 66-year-old school teacher said he'd had to go back to work part-time to make ends meet.

"Really, at the time, it just about killed me," he said. "The nights I spent just worrying about it, it still rankles me today to think that the money just disappeared."

Dominion Finance, which offered commercial and property loans, went under in September 2008 owing 5,937 investors more than $176.9 million.

Its sister company, North South Finance, was placed in receivership in 2010, owing $31 million to 3,900 debenture holders.

Butler's fellow Dominion directors Vance Arkinstall, Richard Bettle, Robert Whale and Paul Forsyth will go on trial next month.

Butler's husband, Terry, was to have joined them, but he died in March of cancer.

Financial Market Authority head of enforcement Belinda Moffat, said Butler was the 27th company director to be convicted in cases brought by the authority.

"She has accepted that she failed to perform her role as a director and did not take the steps required to ensure she was aware of the true position of the companies."

Topics:  editors picks, finance, investment, nz


Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

MS sufferer pins hopes on Russian stem cell treatment

Barry and Sue Potts are fundraising to pay for her $50,000 treatment for MS.

Couple fundraising for what's hoped will be a life-changing event

Four men have now been charged with drug offences

Up to a kilogram of cocaine and cash has been seized by police in a series of dramatic drug raids across Ballina and Byron Bay.

Four men have been charged with drug offences after arrests

Local Partners

It's time to get your shorts on the big screen

ENTRIES for Flickerfest 2017 and Byron All Shorts are now open

Burns Point: The blessings of filming a movie in Ballina

DRAMA: Actors Ron Kelly, John McNeill and Brad McMurray on a scene of Burns Point, filmed near Ballina.

Chris Blackburn talks about his feature film Burns Point

MS sufferer pins hopes on Russian stem cell treatment

Barry and Sue Potts are fundraising to pay for her $50,000 treatment for MS.

Couple fundraising for what's hoped will be a life-changing event

Four men have now been charged with drug offences

Up to a kilogram of cocaine and cash has been seized by police in a series of dramatic drug raids across Ballina and Byron Bay.

Four men have been charged with drug offences after arrests

Are government staffers talking Wentworth Park sale?

Greyhounds race at the Wentworth Park ahead of the industry's July 2017 shutdown.

No answer on whether government staff discussed Wentworth Parl sale

Justice delayed is justice denied in NSW courts

Court backlogs trigger push for break and enter law change

Communication breakdown in NSW fishing reforms

State-wide commercial fishing industry reforms have left fishers confused about their futures.

Non-English speaking fishers confused at industry-wide reforms

Classic car auction draws buyers from US, Dubai

"He wants everyone to enjoy the cars, the collection got too big'

WATCH: Justin Bieber grabbed in Germany

A video has emerged of singer Justin Bieber being attacked

Why The Wrong Girl is right for Jessica Marais

Jessica Marais and Ian Meadows in a scene from the TV series The Wrong Girl.

ACTOR makes the sometimes awkward character her own in new comedy.

What's on the small screen this week

Jessica Marais in a scene from the TV series The Wrong Girl.

A NEW romantic comedy debuts while footy codes ramp up for finals.

Airbourne talk drop bears, beer and taxes

Airbourne have a new album coming out and a new tour on the way.  Photo Contributed

Airbourne release album for the aussie battler

Pippa Middleton had 3000 private photos stolen

Author Pippa Middleton

Author's account hacked to access 3000 private photos

Gruen star discovers the body's limits in new hit TV show

Todd Sampson tries out MMA fighting during TV series BodyHack.

Gruen star pushes the limits in new TV series

UPDATE: Former rodeo champ's sale rained out, now back on

Larkhill local Ken Consiglio is having an auction of most of the things on his property.

'People kept showing up and we had to turn them away'

Couple build their own 'tiny house' for $45k

Holly Bowen and Oli Bucher built their "tiny house" themselves, only hiring a plumber and an electrician. Photo/supplied

The house, which is built on a trailer and can be towed.

Sunshine Beach property breaks real estate record

The property overlooks Sunshine Beach, as the backyard lawn meets the sand.

Sunshine Beach mansion sale smashes real estate record

SOLD: Historic hotel finds new owner

Post Office Hotel Grafton

Photo Adam Hourigan / The Daily Examiner

Pub in new hands and heading in a brand new direction

Peppers Airlie Beach put on the market

ON THE MARKET: Peppers Airlie Beach is being for recievership sale by CBRE Hotels and PRD Nationwide Airlie Beach.

Peppers Airlie Beach is being offered for sale.

3500 jobs on the way with new $950 million resort

Residential, tourist, community, and open space on Hummock Hill Island.

PROPERTY developers plan to begin construction next year.