The Securities Commission has filed criminal accusations and issued civil action against Dominion Finance Group and North South Finance Directors, Vance Arkinstall, Richard Bettle, Terence Butler, Ann Butler, Paul Forsyth and Robert Barry Whale.

Mr. Arkinstall is Chief Executive of the Investment Savings and Insurance Association, symbolizing the main funds management firms and ex-Chairman of the nominating board for New Zealand Superannuation Fund Guardians.

Mr. Bettle is a Director of registered corporation’s Goodman Property Trust, Diligent Board Member Services and Eastern Hi Fi, in receivership.

Dominion Finance Group landed into bankruptcy on September 9, 2008, with an outstanding balance of nearly $176.9 million to 5,900 shareholders.

Dominion Finance bought North South Finance in 2005, for roughly $40 million in ready money and new shares.

North South is now running under a moratorium with shareholders still to be paid $50 million.

The commission asserts that Dominion Finance Group’s papers and ads hoodwinked the investors by faking the investment risks, particularly with regard to linked party transactions, lending standards, loan quality and mutilation, liquidity and the corporation’s monetary position on the whole.

In addition, the commission charges that a quarterly newsletter of Dominion Finance Group and a memo to the shareholders of both, Dominion Finance Group and North South Finance, issued during 2008, included similar incorrect statements regarding the fiscal position of the firms.