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SOCIETY FOR PROMOTION OF COMMUNITY STANDARDS INC.

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435 Devon Ltd in Financial Meltdown? Nothing to Crow about

August 8, 2010 by SPCS Leave a Comment

On Saturday morning 7 August about 150 members of the New Plymouth Returned Services Association (NPRSA) won a resounding victory over the director and principal (50%) shareholder of 435 Devon Ltd, David Bruce Crow and Stephen (Steve) Peter Crow, respectively. The company purchased the NPRSA clubrooms and property in 2008, but failed to keep up with mortgage interest payments and money owed on rates to the New Plymouth City Council. The company also failed to deliver on plans for a $20 million development of the site which was part of the confidential contract that led to the vendor – NPRSA – agreeing to leave $1.525 M in the property as a second mortgage. The NPRSA had the use of part of the clubrooms under the agreement, in exchange for charging no interest on the loan, but did had a right to terminate the lease and then charge interest, commencing February 2010. However, despite the notified termination of the lease by the NPRSA, 435 Devon Ltd did not pay any interest on the second mortgage (about $10,000 per month) since February 2010.

Steve Crow, who announced in a media release on Friday that he would be giving away 12,500 vouchers at Queen Street Auckland and Hamilton city porn street parades this week, entitling the bearer to a full length hard-core porn DVD worth $20.00 from his distribution company Vixen Direct, has now lost his battle with the NPRSA.

Despite having been banned as a company director for four years on 16 April 2010, Stephen (Steve) Peter Crow spoke at the RSA meeting on Saturday for about five minutes to oppose the first motion on the order paper, presenting himself as representing 435 Devon Ltd. He was eventually shut down by the chairman John Armstrong when he tried to speak to the second motion. Armstrong pointed out that Steve Crow (a banned director) had exceeded his 5 minute maximum speaking rights at the meeting  and that he had no right to speak on behalf of 435 Devon Ltd. His 50% ownership in the company which has defaulted twice on mortgage interest repayments to first mortgage holder PMIT Nominees Ltd, did not entitle him to try and represent himself as a director or spokesperson from the management of 435 Devon Ltd. The sole director of that company, his brother David Bruce Crow, who sat near him, is also director of the failed company Buildwise Ltd that was put into liquidation last year owing creditors in the Taranaki hundreds of thousands of dollars. 

The first motion put to the NPRSA meeting by the chairman, that in effect sought permission from members for the executive to borrow sufficient money to potentially buy out the first mortgage, was resoundingly won 139 to 16. The Crow brothers, both RSA associate members with voting rights, vehemently opposed the motion, along with their small contingent of supporters. Having defaulted twice on interest payments to PMIT Nominees Ltd, current holder of the first mortgage over the property, and with apparently no money to pay these and other debts, 435 Devon Ltd is set to be no longer in control of the property. All the other four motions were also won on Saturday.

Preoccupied, along with his sister Leanne Marie Osborn of Fitzroy New Plymouth, with organising porn promotion parades this week in Auckland and Hamilton, Steve Cow, will have plenty to preoccupy himself with after his humiliating defeat at the hands of the old RSA diggers. His former co-director of porn company Eden Digital Ltd, John Malcolm Carr, will be facing eight criminal charges in the Auckland District Court on Thursday 12 August, brought against him under the Financial Reporting Act 1993. Us-porn stars imported for the parades and Erotica Lifestyles Expo, bankrolled by Eden Digital Ltd, may find time to support director John Carr in his Court case. Hopefully the Judge will have the fortitude of mind and moral nerve to prevent them distributing free vouchers in court relating to John M Carr’s porn company DVDs

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