Terry Serepisos to stay bankrupt

Terry Serepisos. Photo / Natalie Slade

Terry Serepisos won't be automatically discharged from bankruptcy next month because authorities have formally opposed his release.

Serepisos, a property developer and former owner of Wellington Phoenix football club, was declared bankrupt in 2011 owing more than two dozen creditors about $203 million.

Bankruptcies normally last three years unless objections are raised by the Official Assignee, which manages personal insolvencies.

Serepisos was arrested this morning after arriving back in New Zealand from Greece last night at the behest of the IRD reportedly over unpaid child support.

"For whatever reason, they decided to set out a warrant for my arrest," Serepisos said outside Wellington District Court this morning.

No papers have been served and no charges laid but the Inland Revenue Department raised the alarm and police arrested Serepisos before releasing him on bail.

The OA confirmed this morning that it had formally filed a notice in the Wellington High Court objecting to Serepisos's discharge from bankruptcy.

"This means that he will not be automatically discharged from his bankruptcy when he becomes eligible for discharge on 7 October 2014," an OA spokesman said.

"As the matter is now before the court it is inappropriate for the Official Assignee to provide any further comment," the spokesman said.

It was not immediately clear whether this objection means Serepisos is required to appear in the High Court to have his financial affairs examined, which has happened in other instances where the OA has objected to a person being discharged from bankruptcy.