Accountant pleads guilty to $2m fraud

File photo / NZH

A Kapiti Coast accountant pleaded guilty today to fraud amounting to more than $2 million.

Ian Victor Petersen, 61, from Waikanae, is accused of misuse of clients' fund while acting as an accountant, tax agent and investment advisor.

Petersen pleaded guilty in Porirua District Court to 13 counts of theft by a person required to account, 19 counts of theft by a person in a special relationship, one count of using a document with intent to defraud, and one of dishonestly using a document.

He was remanded in custody for sentencing on February 4.

The charges, laid by the Serious Fraud Office, related to the misuse of just over $2m in funds from 17 clients' funds paid to Petersen over 13 years, and the use of certain documents for the purpose of reducing a tax liability.

The funds were intended for specific purposes, including the payment of tax, various investments and forestry management fees.

A number of clients were still in discussions with Inland Revenue about overdue tax as a result of Petersen's failure to pass on funds, the SFO said.

Petersen had operated under the name Sorrel Financial Services. He had fraudulently portrayed himself as a member of the institute of charged accountants and holder of a Bachelor of Business Studies.

The SFO had been working with Inland Revenue and the police over other investigations, and had laid nearly 400 charges in nine cases in the first five months of the current financial year, chief executive Adam Feeley said.

"Having reduced our investigation times by 70 per cent in the past 18 months, the public can reasonably expect to see more timely justice in the case of white collar crimes."

- NZPA