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6 July 2006
News release
Securities Commission accepts enforceable undertaking from The Gables Limited and related parties
The Securities Commission has accepted an enforceable undertaking from The Gables Limited and other related parties.
The undertaking relates to an offer of securities to the public by The Gables Limited which had no registered prospectus or investment statement.
The company and its promoters, Aoraki Commercial Property Limited and Combined Financial Services Limited, accepted that the offer was unlawful. They undertook to refund all money raised by the offer to investors and stop advertising the offer.
Undertakings given by these parties include that:
- any future offer of securities to the public will be made in an investment statement, registered prospectus or advertisement that complies with securities law;
- any employees and external marketing advisers and agents who prepare advertising for any offers of securities to the public for subscription are made aware of the requirements relating to offers of securities under securities laws;
- advertisements for an offer will be prepared or reviewed by professional advisers experienced in securities law.
These enforceable undertakings relate to the offer made by The Gables Limited, as well as any future offers of securities involving The Gables Limited, Combined Financial Services Limited, Aoraki Commercial Property Limited, Rhys David Morgan, Lorraine Te Atairehia, or Neville Ian Cant.
"In most cases it is unlawful to offer securities to the public without an investment statement and registered prospectus. The information in these documents allows investors make an informed investment decision," says Kathryn Rogers, Director Primary Markets.
"People who take investment money from the public without these documents can be personally liable to repay the money plus interest and they can be prosecuted. In this case, the Commission considered that an enforceable undertaking was the appropriate outcome given the refund of investors' monies, and that systems are to be put in place to make sure there are no further breaches."
The enforceable undertaking is on the Commission's website.
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Contact: Poly Banerjee ph 471 7666
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