The Serious Fraud Office intends to withdraw two charges against former South Canterbury Finance group accountant Terrence Hutton in the country's biggest ever fraud case.
The white-collar crime investigator won't pursue two charges alleging false accounting in relation to the recording of a $25 million loan and a $10 million loan after reviewing the charges originally laid in December 2011, it said in a statement. Hutton was one of five people originally charged over the collapse of the Timaru-based lender, and is the second to have the charges dropped after former chief financial officer Graeme Brown was removed from the indictment in August.
"I am satisfied, having regard to the requirements of the Solicitor-General's Prosecution Guidelines, that the allegation against Mr Hutton should be withdrawn," SFO director Julie Read said.
The remaining defendants are former chief executive Lachie McLeod and former directors Ed Sullivan and Bob White, who are set to stand trial in March next year at the High Court in Timaru.
They're accused of committing fraud offences under the Crimes Act carrying maximum penalties of between seven and 10 years' jail-time.
