An Auckland bullion gold trader which told a family last week
it would not pay them more than $340,000 they were owed has
been placed into liquidation.
Grace Holdings New Zealand Ltd, trading as Bullion Buyer, has
a statement on its website informing the public that Grant
Reynolds of Reynolds and Associates has been appointed as
liquidator.
The statement said: "The company's failure was primarily the
result of actions taken by Elijah Gus Geldman who was
formally one of our traders. Mr Geldman is currently in
custody in the United States of America.''
The company has laid a complaint with the New Zealand Serious
Fraud Office regarding Mr Geldman's actions. The company
attempted to secure a capital injection from an overseas
party which would have resulted in securing the position of
its investors.
The overseas investor withdrew from investment discussions as
a result of adverse publicity relating to the Fraser Family
and their investments in the company.''
The Herald reported last week that Robert Kairua - Grace
Holdings NZ Ltd's sole director - told Brent Fraser that his
wife and children would not be repaid more than $340,000 they
had invested in leveraged options with Bullion Buyers.
Serious Fraud Office chief executive Adam Feeley said last
week that it was "moving quickly'' and dedicated "a lot of
resources'' to its inquiry into the company after receiving
numerous complaints from investors.
The bullion investment company had an office in the Vero
building in downtown Auckland, and its website has advertised
heavily on television and radio and called itself "New
Zealand's trusted name in bullion trading''.
The Herald's attempts to get in touch with Kairua have been
unsuccessful.
- Hamish Fletcher of the NZ Herald
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