Landbase, RSL plan of action drafted

Press, 6 October 1988, Page 30

Landbase, RSL plan of action drafted

PA Auckland Justice Department officials have produced a plan of action relating to contributory mortgage companies, Registered Securities and Landbase, an official said yesterday. A report drafted by senior staff of the department’s commercial affairs division has been sent to the division’s head office and police headquarters. But senior investigating accountant at the division’s Auckland office, Mr John Wylie, said yesterday it would not necessarily be followed by a prosecution. Mr Wylie would hot confirm a Wellington newspaper report that his reports contained allegations of fraud. However, in affidavits relating to the winding up of both RSL and Landbase companies, he has pointed out breaches of the conditions on which money was solicited from the public. Both contributory mortgage groups were placed in provisional liquidation on the application of the Registrar of Companies, Mr Kevin McCormack, with the official assignee in Auckland, Mr Robert On Hing, appointed as provisional liquidator of two Landbase companies and four companies in the RSL group. Landbase Securities and Landbase Nominee Co were wound up on September 20. , A hearing to wind up companies in the RSL group on September 27 was adjourned until today to consider a scheme of arrangement with creditors proposed by new owner, Mr Chris Boyle.