Disgraced financial adviser Barry Kloogh elects trial by judge-alone

Barry Kloogh. Photo / File

The victims of disgraced financial adviser Barry Kloogh might have a longer wait for justice than they anticipated.

The 57-year-old, who swindled investors out of at least $15.7 million, appeared in the Dunedin District Court yesterday by video link from prison.

Kloogh, who appeared on screen decked out in orange prison garb, pleaded guilty to 11 fraud charges in March, leaving one remaining count of making false statements by a promoter.

Yesterday he pleaded not guilty to that allegation and elected a judge-alone trial.

Judge Michael Crosbie said scheduling that hearing would be a matter of priority but no date could yet be set.

Defence counsel Sarah Saunderson-Warner said the charge effectively hinged on one transaction and could probably be decided by a judge within a day.

Crown prosecutor Marie Grills said restorative justice conveners had been in touch with more than 80 of Kloogh's victims, but it was unlikely meetings could be arranged in time for the sentencing which had been set down for May 12.

The court heard an update would be provided next week.

The judge remanded the matter until the end of the month to see whether the current sentencing date was viable.

Because multiple victims are expected to read statements at sentencing, it has been scheduled by the court to last half a day.

When Kloogh's firms were placed into liquidation, he had 2000 active clients.

The liquidator's first report, released last October, said evidence showed the companies operated as a Ponzi scheme controlled by the defendant.

The Serious Fraud Office and the Official Assignee who is now handling the liquidation process have each made strenuous efforts to contact all affected investors.

However, lawyers acting pro bono for former clients of Kloogh fear the full extent of how much was taken by him will never be known.