A self-employed Auckland stockbroker, whose clients included his friends and family, has been accused of $2.5 million of fraud.
The Serious Fraud Office announced yesterday it had laid 10 Crimes Act charges against Gregory Alan Arnott, of option-trading firm Derivatek New Zealand.
Arnott allegedly received around $2.5 million for options trading but then used the money to repay other investors, to fund a portion of the fee on a US$20 million ($24.5 million) loan and for personal use.
In order to conceal this, the 49-year-old allegedly issued false statements to investors.