Three Auckland finance company directors are facing prosecution in relation to last year's collapse of the Five Star group.
Up to 3,000 investors stand to lose around $80 million, and now the Companies office has laid criminal charges against Marcus Macdonald, Anthony Bowden and Nicholas Kirk.
It is alleged that the trio raised money without a registered prospectus or investment statement, or the appointment of a trustee.
The defendants are due to appear in the Auckland District Court on August 4.
If convicted on these Securities Act charges, the directors and promoters are liable to a fine not exceeding $300,000.
The prosecution is being carried out by the National Enforcement Unit of the Companies Office.
The Securities Commission and the Serious Fraud Office are conducting separate investigations into the affairs of the Five Star group, and the agencies have been liaising closely as appropriate.
Five Star Finance Limited went into receivership and Five Star Debenture Nominee Limited went into liquidation, both on November 5 2007.
