A Nelson man described as the "mastermind" behind an A$30 million "Ponzi" scheme has agreed to never again direct a New Zealand company.
David John Hobbs has also agreed to not provide financial advice or brokering services in this country.
Hobbs was found in 2012 by the New South Wales Supreme Court to have breached Australian laws over the operation of 14 schemes that received over AUD $50 million of investment.
He was penalised a record A$500,000 across the Tasman and is permanently banned from managing companies or providing financial services in Australia.
Hobbs has agreed to a series of undertakings on this side of the Ditch that he will not act as a director or promoter of a company here permanently and will not provide financial adviser or brokering services.
If he breaches these undertakings, the Financial Markets Authority can take him to court.
His wife, Jacqueline Hobbs, has agreed to not act a director in this country for four years and also to not provide financial adviser or brokering services in New Zealand.
The couple are both allow to continue to operate a car dealership in Nelson, provided they do not raise public funds or provide financial services such as vehicle finance to customers.
"The FMA acknowledges the Australian court's findings that Mr and Mrs Hobbs have engaged in serious financial misconduct, involving false misrepresentations to the investing public, including New Zealand investors," said FMA director of enforcement Belinda Moffat.
"These undertakings harmonise the position in New Zealand with the bans imposed in Australia and ensure that the New Zealand public receives the same protection as the Australian public, "she said.
