Serious Fraud Office investigating Clegg and Co.

The Serious Fraud Office (SFO) is investigating Auckland-based finance company Clegg and Co, focusing on related party lending, the New Zealand Herald reported. SFO director Grant Liddell said Clegg and Co Finance's trust deed imposed a 5% limit on such lending, but it appeared at the time of receivership that about three times that amount was lent. Clegg and Co went into receivership in October 2007 with NZ$15.1 million in 496 deposits, according to our definitive Deep Freeze List. Expected recovery for investors is 70-85%. Here is the link to the Herald's story.