A $45m Ponzi scheme that unravelled after the sudden death in Auckland of its founder in February is now being investigated by the Serious Fraud Office.
In September the Herald broke news of the audacious fraud at East Wind - understood to be the largest Ponzi scheme uncovered in New Zealand since the David Ross affair in Wellington of a decade ago - that largely targeted Japanese nationals with unregistered immigration and financial advice.
This afternoon the Serious Fraud Office - which had received, but decided not to investigate, complaints about East Wind in 2014 - announced it was stepping in to formally look at the matter.
"The Serious Fraud Office has commenced a formal investigation into East Wind Company Ltd and its affiliated entities," a spokesman said.
The investigation has been initiated under part 2 of the Serious Fraud Office Act where "the Director has reasonable grounds to believe that an offence involving serious or complex fraud may have been committed".