A property developer was today sentenced to six years in prison for a $47 million mortgage fraud.
Malcolm Duncan Mayer was found guilty in December of 16 charges of dishonestly using a document and 10 charges of using forged documents.
Mayer had used false loan applications and submitted them to fund management company Trustees Executors Limited for 26 properties in and around the Auckland region, between December 2003 and August 2007.
He used a variety of means to mislead TEL into lending the money, including dishonestly using relatives’ and associates’ names to secure the loan funds, using false sale and purchase agreements and false leases to support valuations, and making false statements about the supposed applicant's deposit or contribution to the purchase.
The Serious Fraud Office brought the case against him.
Director Julie Read said: “Mayer’s sentencing should give those seeking mortgage funding some confidence that criminals who use dishonest means in attempts to beat the system and subsequently pass on the costs to honest borrowers, will be caught and held to account.”