SFO investigating South Island Blue Chip franchise after police tip off

SFO investigating South Island Blue Chip franchise after police tip off

The Serious Fraud Office is investigating a South Island Blue Chip franchise after being alerted to potentially misleading documents it provided to investors by the police.

Read the SFO's statement below:

The Serious Fraud Office announced today that it has commenced an investigation into a Blue Chip franchise which operated in the South Island.

SFO Director, Adam Feeley, said “Police have forwarded us information suggesting that documents provided to investors by a Blue Chip franchise employee were misleading.”

The SFO said that there was also an allegation that lending documents may have been altered by that employee to induce financiers into lending funds for property investments.

Mr Feeley said that the Police had already undertaken a thorough preliminary investigation into the matter and it had been agreed between the two agencies that the SFO was better placed to conclude the inquiry.

“We are grateful to the Police for the good work they have already done on this matter, and their work should enable us to complete the investigation in a shorter time-frame.”

Mr Feeley said that the matter was not part of the SFO’s other investigations into the affairs of Blue Chip Financial Solutions Ltd.

“Investigations into Blue Chip Financial Solutions have concluded and an investigation report is under consideration. As part of this process we will be having discussions with Mr Paul Dale, the legal counsel for a number of Blue Chip investors. A decision on the transactions under investigation is expected to be made within the next few weeks.”

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