9 Apr 2009
FXHT FUND MANAGERS LIMITED (IN LIQUIDATION) AND ANOR V DIRK OBERHOLSTER HC WHA CIV-2007-488-000285
- Citation
- openlaw-f2fff5b6_058e_485a_a22b_360588fe783a.pdf
- Court
- High Court
Defendant breached s135 (reckless trading) and s137 (duty of care) by allowing the executive director to operate without adequate supervision or formal reporting systems, thereby creating a substantial risk of serious loss to investor creditors; defendant did not breach s131, s133 or s136 and was not liable for losses caused by the transfer to FX Active; s138 defence unavailable because reliance was on informal oral assurances not proper reports; relief awarded as contribution to liquidation of NZD17,492.50 and USD148,875.75.