South Canterbury Finance Limited

[Enumerate]

It is now 3 weeks since the SFO took the unprecedented and as yet unjustified step of putting Allan Hubbard and his wife into Statutory Management.

I would have thought this would have been plenty of time to validate any strong implications of fraud. I would have thought some public statement would have been mandatory, by this time.

All we have is Simon Botherway deeply embroiled in his brother's insolvency, with weak and feeble reasons being offered why there was no conflict of interest for his role in recommending statutory management to the Minister.

Nothing from Simon Power, as responsible Minister.

I continue to find it remarkable that Minister Power seems to wish to dispense with basic rights in our legal system and continues to favour a "rule by whim" approach over "rule by law". His proposals, as part of court procedure modernisation, to strip defendants of their right to confront their accusers is one example. A more chilling example is his attitude to the Search and Surveillance Bill - government agencies will be allowed to break laws, trespass, to conduct surveillance. Now we have Allan Hubbard's statutory management - why does Minister Power think that AH needs his permission to buy a tin of beans?

Simon Power, it seems, wants to be the chief architect of a future NZ police state.

I am still white hot with rage over this injustice to Allan Hubbard. This is a vital issue of basic justice ... the fourth estate is absent without leave, parliament is silent ... I shall certainly keep this issue top of mind at the next election.

[Balance]

Some very strong appointments to key senior management positions, announced today. I doubt if people of this experience and calibre would be risking damage to their career paths if they thought they were joining a foundering ship. I find today's message from Sandy Maier most encouraging.

There will always be a good 'bank' coming out of this debacle.

[Balance]

I am still white hot with rage over this injustice to Allan Hubbard. This is a vital issue of basic justice ... the fourth estate is absent without leave, parliament is silent ... I shall certainly keep this issue top of mind at the next election.

Tell that to the investors who left money with AH and he recklessly shifted around his various companies - even after the writing was on the wall.

[percy]

Some very strong appointments to key senior management positions, announced today. I doubt if people of this experience and calibre would be risking damage to their career paths if they thought they were joining a foundering ship. I find today's message from Sandy Maier most encouraging.

Colin.You are right. These people would not take the risk.Maier must have nerves of steel.No fire sales.Just keeps making good decisions.

[Enumerate]

Tell that to the investors who left money with AH and he recklessly shifted around his various companies - even after the writing was on the wall.

Your use of the word reckless demands proof! Do you have any? Would you expect some to be presented before or after statutory management? {HINT: one approach is "rule by law", the other is "rule by whim"}

[Alan3285]

Your use of the word reckless demands proof! Do you have any? Would you expect some to be presented before or after statutory management? {HINT: one approach is "rule by law", the other is "rule by whim"}

Now then Enumerate, surely you are familiar with the rules:



Alan.

[Balance]

Your use of the word reckless demands proof! Do you have any? Would you expect some to be presented before or after statutory management? {HINT: one approach is "rule by law", the other is "rule by whim"}

If this is not reckless, what is?

http://www.briangaynor.co.nz/blog/20...rty-loans.html

It is fact that AH and SCF continued to pile on related party transactions after the market became very concerned after the collapse of the other finance companies. Just read back over this thread.

The huge increase in related party transactions was a huge red flag - read S&P comments in the last 2 years.

[winner69]

... the fourth estate is absent without leave, parliament is silent ... I shall certainly keep this issue top of mind at the next election.

Hey Emunerate - you should know by now who controls the fourth estate in NZ and even if they did have the freedom you think they should have maybe there isn't a story here anyway. At least until investigations are concluded.

Just like the press seems to have gone quiet on the BP thing. Even Obama doesn't want the full extent of the disaster to come out now and what better ally than BP to make it difficult for the 'fourth estate' to do their job. Even reports that BP are subsidising the local sherrifs office payroll to ensure that life is made difficult for any investigative journalist to get anywhere near anything important

With Hubbard from a journalistic view there probably isn't a story anyway (or not one big enough to waste time on) or if there is really an injustice and some want to do some reporting maybe there are barriers being put up

Just think who may be behind the Hubbard SM and it make it make it all clearer. All I know one punter from Waimate hasn'i caused all this.

[COLIN]

I get confused when people use the initials "SM". Do they mean:

Sandy Maier
or
Statutory Manager
or
Sado-Masochism?

(Just a lighter comment, amongst all the heavy stuff!)

[Enumerate]

The huge increase in related party transactions was a huge red flag - read S&P comments in the last 2 years.

Key point is that SCF related party transactions are no reason, at all, to put Allan Hubbard, his wife, the cat ... the trusts and Aorangi into statutory management.

More generally, related party transactions are not cause for statutory management. Especially ones that are disclosed ...

The Gaynor blog was October 2009. Near the end of 2009 there was serious reason be concerned about the future of SCF. SCF, at that time, seemed to be in complete denial of the core issues it had to face. Management and directors were not up to the task.

Since then, we have seen Maier take the reins. If you look at Gaynor's list - some entities have ceased to be related parties and others have turned into equity!

Balance, I insist that you agree with me on this point! Minister Power owes the NZ public and explanation as to why this outrageous step, statutory management of a respected SI investor, has taken place. This is not a minor commercial issue. This is about basic rights ... Allan Hubbard should be free to enjoy his property unless deprived of this right due to criminal behavior.

The burden of proof for criminal behavior and our laws of evidence prevent state authorities from conducting "fishing expeditions" looking for faults or problems. Minister Power is trampling on these rights, in the name of regulatory intervention under the Finance Act. What is next? Is he going to institute marshal law to enforce correct parking etiquette?