Du Val founder Kenyon Clarke and his wife Charlotte are in personal receivership and have refused to be interviewed by receivers. Photo: kenyonclarke.com
The collapsed Du Val property group is in the High Court today in a bid to fight the moves that ultimately led to it being put in statutory management.
The group of about 70 entities owed about $300 million at last count. Founders Kenyon and Charlotte Clarke were in personal receivership.
Du Val was put into statutory management in August - a move that could only be made by the government - at the recommendation of the Financial Markets Authority.
It came after the group was initially put into receivership and the receivers PWC raised concerns about irregular accounting, the valuations of assets and about the companies paying for some of the Clarkes' personal expenses.
The government said at the time that the scale and complexity of the situation meant statutory management was needed to prevent future harm.
Kenyon Clarke has said the FMA and PWC have made the financial situation worse.
He maintained that Du Val would have been able to deliver a return to its investors and contractors if the FMA had not stepped in.
That was despite several creditors telling RNZ their bills stopped being paid, or were paid irregularly, in the run-up.
The couple's lawyer Ron Mansfield KC was set to appear on behalf of Du Val and the Clarkes at the High Court in Auckland today, in what is expected to be a three day hearing.
The receivership and statutory management processes have been continuing despite the court challenge.
The Clarkes remain in personal receivership and their assets have been frozen.
They have refused to be interviewed by receivers and are appealing a High Court ruling that would force them to.
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