KEY POINTS:
A Nelson businessman broke down in tears yesterday when he was jailed for five and a half years after misappropriating $1.7 million.
Warren Russell Green, 54, was sentenced in the Nelson District Court in front of a public gallery containing members of his family as well as victims of his offending, the Nelson Mail reported.
Green turned himself in to police in March. He had pleaded guilty to two representative charges of theft from about 40 Mobile Finance Centre investors between May 16, 2000, and December 19, 2007.
Judge Tony Zohrab said Green used his good reputation to get clients, many of whom were friends, to invest money with him.
The victims ranged from young people to an 80-year-old man who needed his money to pay for a heart operation.
The court heard that 65 investors were involved, with investments ranging from $5000 to $290,000.
Green's company, registered in 1998, aimed to invest clients' money in short-term, high-interest personal loans and mortgages, and pay back the principal plus interest. However, in 2000 Green ran into financial difficulties and began using clients' money elsewhere, and was unable to repay them.
Judge Zohrab said reading statements from the victims of Green's offending was very distressing.
"I could spend the next hour reading through these statements but one of the common themes is a sense of betrayal.
"Many of the victims were known to you and your family, and you betrayed that trust," he told Green.
The business was "doomed to fail" in 2000 and Green should have stopped it then.
Judge Zohrab said it was clear there were also other victims.
He said he wished he could have ordered reparation but he could not "turn straw to gold". A reparation order would be pointless, as Green had no assets.
References given to the judge described Green as a person of good standing in the sporting and social scene.
"None of them can understand how you have offended in this way."
Defence lawyer John Sandston said Green was remorseful for his actions, which were based on an optimism that the business would be successful.
He had been involved in many sports and social groups and did not have a lavish lifestyle or take overseas trips.
- NZPA
