Conman gets permanent ban

Raymond Anthony Andrews has been permanently disqualified from taking part in the management of a company.

The high-court decision follows an application for his permanent prohibition by the Registrar of Companies made under section 383 of the Companies Act.

It was based on the risk of further financial harm to the public and on the 74-year-old’s convictions in relation to the management of companies.

Since being adjudicated bankrupt in 2008, the car fraudster has been convicted of various offences following investigations by NZ Police and the integrity and enforcement team at the Ministry of Business, Innovation and Employment (MBIE). They include:

• Nineteen offences under the Insolvency Act. These related to being involved in the management or control of companies while an undischarged bankrupt, concealing property from the Official Assignee (OA) and misleading the OA.

• One offence under the Companies Act for breaching a prohibition on taking part in the management of a company.

• Twenty-nine dishonesty offences including obtaining by deception, forgery and use of forged documents.

As a result of his most recent conviction in 2019, Andrews was prohibited from managing a company until March 15, 2024. 

However, given the risk of reoffending and the escalation of his crimes on each occasion, the Registrar of Companies decided to pursue a permanent ban having successfully objected to Andrews being discharged as a bankrupt in 2013. 

Vanessa Cook, manager of MBIE’s integrity and enforcement team, says: “The bankruptcy process is designed and intended to allow people to recover from financial disaster and move on with their lives, a process which the vast majority of bankrupts in New Zealand participate honestly in.

“Andrews chose to break the law on numerous occasions after becoming bankrupt causing significant and extensive financial damage to his victims, and has given no indication his behaviour is likely to change in the future.

“Permanent disqualification is only sought in the most serious of cases. However, given the escalating nature of Andrews’ offending, the registrar judged it necessary to act in order to protect the public from further harm.”

Chequered past

Autofile Online reported on Raymond Anthony Andrews’ criminal activities back in September 2021. After being caught running a luxury-vehicle scam that netted about $700,000, he lost an appeal over his convictions and sentence.

Andrews had been convicted of fraud, using forged documents and concealing or removing property after a trial in March 2019.

He was an undischarged bankrupt controlling a company contrary to the Companies Act when he was importing and distributing high-end vehicles between 2015 and 2017. He also wilfully misled the Official Assignee (OA).

Prosecutors estimated his victims lost about $700,000 for the promise of vehicles such as a Jeep Grand Cherokee, Mercedes-Benz and BMW. Another car business also lost $345,000 although Andrews disputed the quantum of the total loss.

He was sentenced to six years and six months in jail at Auckland District Court in July 2019. 

Andrews appealed his convictions and sentence. He alleged his trial lawyer failed to prepare adequately and advance his defence in accordance with his instructions. He claimed this resulted in a miscarriage of justice.

He also alleged his counsel failed to prepare a brief of evidence, failed to discharge his duties of cross-examination and gave an inadequate closing address.

The court of appeal dismissed Andrews’ case in a decision released in September 2021, which followed a hearing before Justice Cameron Mander in June 2021.

His decision stated: “In addition to substantial loss, other aggravating features were present in this case that demonstrated Andrews’ high level of culpability, including the duration and breadth of his offending as an undischarged bankrupt.”

Andrews was previously jailed in 2013 for 15 months for controlling a business while bankrupt, obtaining credit by deception and concealing two bank accounts.

In August 2021, Autofile Online reported that Andrews was denied parole in July of that year and was due to again appear before the Parole Board in April 2022. His statutory release date was given as December 10, 2024, at the time.

It was reported that he even defrauded his own daughter by opening a bank account in her name and secretly using it without disclosing it to the OA. The Crown described his case as one of the most egregious bankruptcy breaches to come before the courts.

In the board’s decision, released to the NZ Herald, the parole assessment report referred to Andrews as having a medium risk of reoffending.

The decision stated: “Andrews spoke to the board about his appeal and the grounds for it. He told us he has remorse and is accountable, and expressed his concern about his incarceration because the court of appeal’s decision is not available.”

However, the board decided that Andrews remained a risk to the community while he was yet to undertake any rehabilitation or produce a robust release proposal approved by the Department of Corrections.

Andrews was previously jailed in 2013 for 15 months for controlling a business while bankrupt, obtaining credit by deception and concealing two bank accounts.

History of offending

MBIE says Andrews, who was adjudicated bankrupt in April 2008, was found guilty of 11 charges under the Insolvency Act 2006 in 2013, including involvement in the management of a business will bankrupt and two charges of concealing property from the OA. This resulted in 15 months’ imprisonment.

In 2017, Andrews was sentenced to 22 months’ imprisonment after pleading guilty to charges under the Insolvency Act. 

These included a representative charge of including being involved in the management or control of a business while bankrupt and one charge of wilfully misleading the OA in relation to his involvement in Max Imports Ltd.

In 2019, Andrews was convicted of several charges under the Insolvency and Companies Acts, as well as forgery charges under the Crimes Act. These related to the importation and distribution of motor vehicles from Australia for which he was sentenced to six-and-a-half-years’ imprisonment.

As for the law, section 383(1) of the Companies Act provides a mechanism for the court to order that an individual must not, without the court’s leave, be a director or promoter of, or in any way whether directly or indirectly, be concerned or take part in the management of a company permanently or for a period specified in the order.