Anne Gibson: NZ Herald Property Editor on Du Val Group put into interim receivership after FMA application

An Auckland apartment developer has been put into interim receivership by the High Court. 

Du Val Capital Partners and other Du Val Group companies were put into interim receivership after an application by the Financial Markets Authority. 

Police were also seen entering Du Val co-founders Kenyon and Charlotte Clarke’s home in Remuera. 

NZ Herald Property Editor Anne Gibson joined Andre Dickens. 

LISTEN ABOVE 

See omnystudio.com/listener for privacy information.

Episode Transcript

Speaker 1 (00:00):
Now an apartment developer in Auckland has been put into
interim receivership by the High Court with much drama. Today
the Court put Duval Capital Partners and other Duval Group
companies into interim receivership after an application by the Financial
Markets Authority and police. We're seen entering Duval co founders
Kenyon and Charlotte Clark's house in Reby Weara today in Auckland.

(00:23):
So Anne Gibson is the New Zealand Herald property editors.
She's following the story. Hello An, Hello Andrew. So do
we know what's happening here? Yes?

Speaker 2 (00:31):
Right, So this was quite surprising. So just before eleven
o'clock this morning we got an announcement from the Financial
Markets Authority saying it had been to the High Court
to get an interim receivership order against a number of parties,
actually Kenyon and Charlotte Clark of Duval, Duval Capital Partners
and Duval Group. Now what's happened is these businesses are

(00:55):
now under the full control of accountants at PwC. They'll
go in there, go through them, I think would be
right now, looking at assets, liabilities, who secured, creditors, who
are unsecured creditors and then probably about mid August will
get their first report. I think they've got ten working
days to issue their statement their interim findings on these businesses.

Speaker 1 (01:22):
So why was the police involved. We don't not know, okay,
and we know exactly what the FMA are looking for.

Speaker 2 (01:30):
We know that the FMA has said there are about
one hundred and twenty investors in these businesses. Now, the
FMA has had quite a lot to do with Deval
over the last few years. I've report on it quite extensively.
So back in October twenty one, when Duval raised twenty
million dollars via a mortgage offer to wholesale investors, the

(01:52):
FMA moved on them over that, and then in March
twenty twenty three they also announced that they were taking
actually against Aval. So it's mainly to do with the way,
partly to do with the risk of the office. So
the fma's role here is to try and clean up
the financial markets in New Zealand. We don't want to

(02:15):
repeat of what happened in the aged share market crash, right,
we don't want to repeat of what happened with Bridge,
Corbyn Strategic and all those companies back in the GFC,
and what occurred there, to be honest, is it people
were misled. They didn't really know what they were investing in,
and so transparency here is a bit of a keycha.

Speaker 1 (02:34):
And this is the thing in this case. They're not
actually buying a property, they're not putting it down a
deposit on a property. They're actually just providing their capital
into an investment run by Duval or whatever entity within Duval,
which is then they're expecting a return. And now they're
having a look into what's happening.

Speaker 2 (02:49):
There, precisely because these people's money was being invested at
rates that were much higher than the bank deposit rates.

Speaker 1 (02:56):
You know, they always look good. Let's go for that exactly.

Speaker 2 (03:02):
And what does Mary Holmes say? Higher risk, high rewards,
high reward, high risk, And so so it's it's it's
it's a warning, isn't it to people? And that's what
the FMA is on about here. They're pretty much they
they it is their role to enforce the law. And
we don't know yet exactly what occurred here. We know

(03:24):
that a number of devail companies changed their names recently.
We know there's been previous CFM a action. We know
that Charlotte and Kenyon Clark appeared to be living quite
an amazing lifestyle. Beautiful videos are actually meant to be
in a televised series called The Property Device.

Speaker 1 (03:40):
Hello, Okay, yeah's getting more and more juicy.

Speaker 2 (03:42):
In front of the fire with the beautiful war paper
and smoking said, guys, how good would that be?

Speaker 1 (03:48):
Okay, So we're going to wait and see what develops
from the FMA, and we'll follow the story closely. And Gibson,
I thank you for your time today, and you Andrew
and as our Property editor. For more from Hither Duplessy
Allen Drive, listen to news talks it'd be from four
pm weekdays, or follow the podcast on iHeartRadio