Bridgecorp trial: Crown case 'lacked detail'

(L- R) Rod Petricevic, Robert Roest, Gary Urwin and Peter Steigrad. Photo / Brett Phibbs

The defence's closing submissions in the trial of three former Bridgecorp directors have begun in the High Court at Auckland as the case edges towards a close.

Rod Petricevic , Rob Roest and Peter Steigrad face 10 Securities Act charges, and are accused of misleading investors in Bridgecorp prospectuses and offer documents.

As well as the Securities Act allegations, Petricevic and Roest face eight counts of knowingly making false statements in offer documents that Bridgecorp had never missed interest payments or repayments of principal to investors.

The trio denies the charges in a case brought by the Financial Markets Authority.

This morning, Petricevic's lawyer Charles Cato said Crown allegations that the former director knew about missed payments to investors were "broad brushed" and lacked detail.

According to the Crown, Bridgecorp began missing payments from February 7, 2007, when it failed to pay $206,000 due to investors.

Asked about Bridgecorp failing to make a large interest run at the end of March 2007, Petricevic said earlier in the trial the payments were not missed because they fell due on the weekend and went out on the next banking day.

"It was not to his mind a missed payment. (It) was paid on the next business day which is normal commercial practice to his mind," Cato reiterated this morning.

In terms of missed maturities payments to investors, Cato said Petricevic was not informed about them by Bridgecorp staff.

"If he (Petricevic) had known he would have escalated matters to a higher level," Cato said.

Cato repeated his client's evidence that Roest had never told him about missed payments.

When in the witness box earlier in the trial, Roest told the court he had discussed missed payments with Petricevic in morning meetings.

Cato also asked Justice Geoffrey Venning, who is hearing the trial alone, to "steel" himself to the "adverse publicity" about Petricevic in the media.

The defence's closing arguments continue this afternoon.

Justice Venning has indicated he will give his verdict on April 5.

That same week, former Bridgecorp director Gary Urwin is expected to be sentenced after a disputed facts hearing.

Urwin originally pleaded not guilty and appeared in court with Petricevic, Roest and Steigrad. But he changed his plea in November last year.

The charges carry a maximum penalty of five years' jail or a fine of up to $300,000.

Former Bridgecorp chairman Bruce Davidson was sentenced to nine months' home detention in October after changing his plea to guilty, and was ordered to pay $500,000 reparations and perform 200 hours of community work.