Governments committments to Leaky homes crisis sets precedence to finance company investors

The Governments recent handling of the leaky homes crisis sets precedence over Government responsibility, reinforcing Investors claims that Government has a duty to investors over the finance

company crisis.

 

The leaky homes crisis and the finance company collapses reflect similar issues regarding Government responsibility in regard to legislation enforceable under laws, including the Bill of Rights. Governments have failed investors by failing to protect them from the ‘wild west cowboy’ practices, leaving investors to cope with the various consequences caused by mass malpractice.

 

Reportedly the leaky homes crisis responsibility rests with the Government. At the time of the crisis, the Government, through its agency the Building Industry Authority set the building controls.

 

The Government and its Agencies cannot avoid their duty to investigate all aspects of the finance industry practices, leading to law enforcement of legislation that currently govern the finance industry.

The Government quietly acknowledges its obligation when communicating with individual investors.

 

Minister of Justice and Commerce, Hon Simon Power promised an investor, in a letter in August, that laws would be enforced. However no public acknowledgement of this commitment by the Minister has been forth coming. However on the basis of the Ministers promise, all complaints about financial advisors to the Commerce Commission should be investigated and every investor given the chance

to produce their evidence, to ensure law enforcement.

 

Should investors’ evidence be presented to the appropriate law enforcement authorities and Mr Powers promise is met, it is most probable that investors could, through cases that the authorities bring, be returned substantial amounts of money through indemnity insurers, insolvency laws and negotiation. This will ensure relief to tax payers as the perpetrators will be under current law and held to account.

 

Coordinator of EUFA Suzanne Edmonds said today;

 

“ Investors will be happy to wait for their money if they know something positive is being done to retrieve it. The complexities, fragmentation and the massive web of interrelated associations needs coordination by an inquiry. The SFO, Commerce Commission etc are stretched beyond their resources to investigate, meaning the promised law enforcement is near impossible to achieve and that’s why an inquiry is needed.”

 

Many Directors of troubled finance companies are involved in massive new projects, such as the hotel Hilton in Taupo. The New Zealand government is showing no urgency to investors concerns, or protecting investors from possible further loses. Finance company directors continue on in new companies and businesses with absolutely no remorse for the destruction they have caused through their directorships.

 

Mrs Edmonds adds

“The Company’s office and others should be looking very hard at what is going on here before more people’s lives are destroyed”