Bank got it wrong, says Don Ha

Don Ha. Photo / Janna Dixon

A multimillionaire real estate "king" says the bank that put him into receivership did not have a true understanding of his position.

Don Ha's fortune was estimated at $60 million by National Business Review in 2007, but receivers have taken over properties and assets belonging to Don Ha Real Estate.

"Without going into too many details, it came to my attention recently that some of the management controls and reporting systems employed by Don Ha Real Estate Ltd weren't what they should have been," he said in a website statement.

"I am confident that the bank which put me into receivership doesn't have a true understanding of my position.

"I wish they had communicated with me more before taking their action because this could have been avoided."

The firm's financial problems are expected to be revealed when receivers Timothy Davies and David Ruscoe of Grant Thornton make their first report on May 20.

Mr Ha did not return calls yesterday, but said in his statement he was positive about the future of his company.

"The main message today is that there is no reason for anyone connected with any of my businesses to be worried.

"It is very much a case of business as usual."

He said "opposition companies" had tried to poach his top agents and core staff, but they chose to stand by him.

Mr Ha, also known as Duong Hai Ha, moved to New Zealand with his family as refugees from Vietnam in 1980 when he was 9 years old.

His success in real estate enabled him to indulge his passion for horses, and he paid a record $2 million for a Zabeel colt at Karaka in 2007.

His financial troubles started showing in 2008 when contractors engaged a debt collector to try to get money from one of his companies, DH Homes.

An agent who used to work at Mr Ha's Ray White Manukau said several agents had left the firm in recent weeks after "sensing it was in some kind of trouble".

"Don's a great businessman and a great guy, but he wasn't around much to keep an eye on what's going on in the business," said the agent, who did not want to be named.

Another agent, Louie Lim, who left the firm last week to join Ray White Mt Eden, said he had been paid in full by the company and many had chosen to remain.

Mr Lim said: "This is just a speed bump for Don, and I think most of the staff remain confident that he will be able to come out of this one."