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Speaker 1: Now an apartment developer in Auckland has been put into

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Speaker 1: interim receivership by the High Court with much drama. Today

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Speaker 1: the Court put Duval Capital Partners and other Duval Group

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Speaker 1: companies into interim receivership after an application by the Financial

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Speaker 1: Markets Authority and police. We're seen entering Duval co founders

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Speaker 1: Kenyon and Charlotte Clark's house in Reby Weara today in Auckland.

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Speaker 1: So Anne Gibson is the New Zealand Herald property editors.

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Speaker 1: She's following the story. Hello An, Hello Andrew. So do

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Speaker 1: we know what's happening here? Yes?

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Speaker 2: Right, So this was quite surprising. So just before eleven

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Speaker 2: o'clock this morning we got an announcement from the Financial

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Speaker 2: Markets Authority saying it had been to the High Court

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Speaker 2: to get an interim receivership order against a number of parties,

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Speaker 2: actually Kenyon and Charlotte Clark of Duval, Duval Capital Partners

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Speaker 2: and Duval Group. Now what's happened is these businesses are

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Speaker 2: now under the full control of accountants at PwC. They'll

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Speaker 2: go in there, go through them, I think would be

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Speaker 2: right now, looking at assets, liabilities, who secured, creditors, who

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Speaker 2: are unsecured creditors and then probably about mid August will

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Speaker 2: get their first report. I think they've got ten working

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Speaker 2: days to issue their statement their interim findings on these businesses.

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Speaker 1: So why was the police involved. We don't not know, okay,

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Speaker 1: and we know exactly what the FMA are looking for.

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Speaker 2: We know that the FMA has said there are about

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Speaker 2: one hundred and twenty investors in these businesses. Now, the

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Speaker 2: FMA has had quite a lot to do with Deval

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Speaker 2: over the last few years. I've report on it quite extensively.

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Speaker 2: So back in October twenty one, when Duval raised twenty

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Speaker 2: million dollars via a mortgage offer to wholesale investors, the

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Speaker 2: FMA moved on them over that, and then in March

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Speaker 2: twenty twenty three they also announced that they were taking

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Speaker 2: actually against Aval. So it's mainly to do with the way,

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Speaker 2: partly to do with the risk of the office. So

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Speaker 2: the fma's role here is to try and clean up

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Speaker 2: the financial markets in New Zealand. We don't want to

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Speaker 2: repeat of what happened in the aged share market crash, right,

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Speaker 2: we don't want to repeat of what happened with Bridge,

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Speaker 2: Corbyn Strategic and all those companies back in the GFC,

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Speaker 2: and what occurred there, to be honest, is it people

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Speaker 2: were misled. They didn't really know what they were investing in,

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Speaker 2: and so transparency here is a bit of a keycha.

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Speaker 1: And this is the thing in this case. They're not

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Speaker 1: actually buying a property, they're not putting it down a

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Speaker 1: deposit on a property. They're actually just providing their capital

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Speaker 1: into an investment run by Duval or whatever entity within Duval,

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Speaker 1: which is then they're expecting a return. And now they're

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Speaker 1: having a look into what's happening.

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Speaker 2: There, precisely because these people's money was being invested at

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Speaker 2: rates that were much higher than the bank deposit rates.

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Speaker 1: You know, they always look good. Let's go for that exactly.

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Speaker 2: And what does Mary Holmes say? Higher risk, high rewards,

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Speaker 2: high reward, high risk, And so so it's it's it's

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Speaker 2: it's a warning, isn't it to people? And that's what

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Speaker 2: the FMA is on about here. They're pretty much they

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Speaker 2: they it is their role to enforce the law. And

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Speaker 2: we don't know yet exactly what occurred here. We know

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Speaker 2: that a number of devail companies changed their names recently.

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Speaker 2: We know there's been previous CFM a action. We know

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Speaker 2: that Charlotte and Kenyon Clark appeared to be living quite

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Speaker 2: an amazing lifestyle. Beautiful videos are actually meant to be

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Speaker 2: in a televised series called The Property Device.

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Speaker 1: Hello, Okay, yeah's getting more and more juicy.

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Speaker 2: In front of the fire with the beautiful war paper

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Speaker 2: and smoking said, guys, how good would that be?

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Speaker 1: Okay, So we're going to wait and see what develops

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Speaker 1: from the FMA, and we'll follow the story closely. And Gibson,

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Speaker 1: I thank you for your time today, and you Andrew

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Speaker 1: and as our Property editor. For more from Hither Duplessy

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Speaker 1: Allen Drive, listen to news talks it'd be from four

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Speaker 1: pm weekdays, or follow the podcast on iHeartRadio