Blue Chip founder Mark Bryers has been banned from directing or managing any company in New Zealand for five years.
The decision from the Deputy Registrar of Companies Peter Barker comes after the Ministry of Economic Development provided a report alleging mismanagement. [Pornographer Steve Crow was banned as director for 4 years for the same reasons under section 385 of the Companies Act 1993].
Anyone who has been a director of more than one failed company within five years has to satisfy the Registrar of Companies that their management of the companies’ affairs did not contribute to the companies’ demise.
Bryers did not oppose any prohibition on him and did not respond to the ministry’s report.
The five year ban is the highest that can be handed out under the Companies Act.
If Bryers breaks it, he can be liable for up to five years imprisonment or a fine of up to $200,000.
Bryers has faced separate legal action. He was last month sentenced to 75 hours community service and fined $37,500 in the Auckland District Court after earlier pleading guilty to 34 charges laid by the Ministry of Economic Development in relation to the running of Blue Chip.
He has been ordered to return from his luxury home in Sydney to carry out the community service.
Bryers was declared bankrupt last year owing about $173 million.