Du Val placed into interim receivership at request of Financial Markets Authority
Friday, 2 August 2024
Du Val Capital Partners and a number of its entities have been placed in interim receivership.
The court also approved the FMA’s request for asset preservation orders.
In March, Kenyon and Charlotte Clark told Stuff that the business had got through a tough patch and was doing better.
Police entered the home of Kenyon and Charlotte Clarke on Friday as their high-profile property investment company Du Val Group was placed into interim receivership.
At the request of the Financial Markets Authority - Te Mana Tātai Hokohoko, Du Val Capital Partners Ltd, along with entities within the Du Val Group were put into interim receivership on Friday by the High Court.
Police were seen entering their property in Remuera, Auckland on Friday morning and the High Court orders also on the Clarkes, so that their own finances can be examined.
Established in 2013, Du Val has built a number of large scale residential projects across Auckland, but interim receivers have been appointed to seek clarity around the financial position of the company.
John Howard Ross Fisk, Stephen Robert White and Lara Maree Bennett, licensed insolvency practitioners of PwC New Zealand have been appointed interim receivers of the Group. PwC New Zealand is to provide an interim report to the Court within 10 working days or such other period as the Court allows.
In a statement from the FMA, it said the court also approved its request for asset preservation orders. These are put in place to stop someone from spending, hiding or transferring their money. The orders were requested to support the FMA's active investigation into Du Val Group.
The FMA understands there are approximately 120 investors in the Du Val entities, which were marketed as wholesale investments.
In an interview with Stuff in March, Kenyon and Charlotte Clarke fronted up to the criticism there had been about Du Val and Kenyon said the business was doing OK.
“We are fine,” he said.
“We are just kicking off new projects now. Every property business in Auckland has gone through the floods, cyclones and huge cost inflation, we’ve had projects delayed, 100% we have.
“But we’re human, we’re a business and we live within an organic system where s… goes wrong. It’s how you manage it that’s important.
“We’ve completed 100 homes that are due for settlement in the next couple of weeks.
“That’s stages one and two of a $180m project, the Mountain Vista Estate, then three, four and five are completed after that.”
“We’ve had some projects that are a bit later than others, so what? We’re building just under 500 homes in Auckland and I’m stoked about that and proud about that.”
Charlotte confirmed in that interview that they had gone through challenging times, but were coming out the other side.
“It has been a tough time for property investors in New Zealand, coming out of Covid, there was a labour shortage, followed by high inflation and a cost of living crisis,” she said.
“Even though it’s been tough, we’ll come out the other side of it with many hundreds of homes being built, which is awesome.
“A lot of people who buy our homes are first-time-buyers or first-time-investors and they’re just making their way in the world.
“I feel like it’s a nice thing to feel that we’re adding value to people’s lives.”
Du Val investors with questions on the interim receivership are advised to contact PwC New Zealand at nz_duval@pwc.com.