The silent marriage of ACC and Dominion finance

Accident Compensation Corporation has substantial shareholdings in troubled finance companies Dominion Finance Holdings and Dorchester Pacific Limited that have frozen investors funds to the value of $276 million and $168 million involving over nine thousand investors savings in Dominion’s case and an undisclosed number of investors in Dorchester.

Exposing Unacceptable Financial Activities (EUFA) is deeply concerned that on 19th June 2008 (when Dominion froze funds) the Accident Compensation Corporation was listed on the Companies Office web site as a major shareholder in Dominion Finance, but as at 2nd July 2008 the shareholding listing has been removed from the company shareholder list on the web site.

To the contrary, it is notable that irrespective of the removal of the ACC shareholding from the Companies shareholder list on the site, that ACC is still registered as a shareholder of Dominion Finance Holdings on the shareholder search page of the Companies Office web site.

EUFA finance spokesman Gray Eatwell said today that, “It is scandalous to think that while such large sums of individual and public funds are at risk in this crisis that any priority treatment has been given to any shareholder, particularly a public body like ACC”.

“We have not been able to establish if ACC has been paid for its shares or if the listing has simply been removed to avoid the public being made aware of the public funds at risk, but either way there is some serious explaining to be done”

There have been some horrendous losses involved in what can only be described as negligent compliance enforcement by the Securities Commission and others with a statutory duty to police the finance sector, therefore it is way past time for the Government to uphold its duty and deal with this matter in the public interest. Ends.

The finance companies are in free fall with lack of confidence being a major factor. Well known directors, shareholders and trustees were used to gain investor confidence and now it seems the old boys brigade are not who they were seen to be. It is becoming more obvious why the Politicians from all parties, the individuals involved are chillingly silent.