Property Ventures Ltd (PVL) was a development and investment company founded by Dolf de Roos and led by Christchurch-based property developer Dave Henderson. David Ian Henderson was adjudicated as a bankrupt in the Christchurch High Court on 29 November 2010 and remains a bankrupt under that order. He was to have appeared before the Christchurch High Court on 9 June 2014 for public examination of his activities whilst a bankrupt, but that “has been put on hold after the Christchurch businessman refused to hand over documents he was asked to surrender. A judge ruled that emails between Henderson and several of his business associates had to be provided to investigators so they could be considered at a three-day High Court hearing, scheduled to begin on June 9.” (The Press 29/05/14).
PVL was placed into receivership on 5 March 2010 owing $69 million and then placed into liquidation on 27 July 2010. One of its many subsidiaries – Park Trustee Company Ltd – was put into liquidation on 19 June 2012.
In May 2005 PVL attempted to raise $52.5 million from the New Zealand public with an offer of $1.75 convertible notes, without much success. Those few who did subscribe were subject to a trust arrangement with Covenant Trustee Company Limited. PVL then went further afield seeking to woo overseas investors to this offer, this time listing a PVL subsidiary – Park Trustee Company – as trustee on its investment statements.
A subsequent probe into the activities of PVL commenced by the Securities Commission in 2007 following complaints from overseas investors over non-payment of interest, raised alarms over the role of the related party trustee – Park Trustee Company – in its apparent failure to protect overseas investors. The Commission expressed concern that the PVL investment statements may have been misleading – a potential criminal breach of the Securities Act, which does cover some aspects of overseas issues.
The trust deed that bound the trustee (Covenant Trustee Company) to protect NZ investors, allowed for PVL to withhold interest payments to investors if doing so would make it (PVL) insolvent or breach other debt covenants, but non-payment would not count as a default. With such dubious terms, it is not surprising that few New Zealanders chose to invest in PVL.
Park Trustee Company Ltd [PTCL) was incorporated on 20 October 2004 under the name “Property Ventures Trustee Company Ltd” (PVTCL) with its sole shareholder being Property Ventures Ltd [PVL]). Dave Henderson, who was a director of PVL at this time (he was appointed on 6/11/02), was appointed sole founding director of PVTCL on 20 October 2004 and he was soon replaced by sole director John Edward Butler just 13 days later on 2 November 2004. On the next day, 3 November 2004, Austin John Forbes was appointed as a second director of PVTCL (record filed 4/11/04). [Read more…]