A former Queensland accountant has been sentenced to four years jail after pleading guilty to nine charges of dishonestly using client monies following an investigation by the Australian Securities and Investments Commission (ASIC).
The Mackay District Court handed down the sentence yesterday to Andrew James McKenzie, who had pleaded guilty to four counts of dishonestly using his position as a director of Airlie Properties and Cannonvale Markets. Each of these companies were trustees of various property investment unit trusts that both went belly up in 2002.
But during 2001, McKenzie sold the various syndicated properties, either wholly or in part, to several purchasers without the prior approval of the unit holders.
Only some of the investors received a share of the profits.
The Court found McKenzie had dishonestly used his position in the trustee companies to gain a financial advantage of $595,000 for a number of additional companies of which he was a director.
McKenzie also pleaded guilty to five counts of dishonestly applying an additional total of $375,000 from the trustee companies and Airlie Investment Corporation, for his personal use and by AJM and Goldsky Holdings.
ASIC deputy executive director of enforcement Allen Turton said the regulator would continue to bring company directors who dishonestly use funds raised from investors before the Courts for appropriate punishment.
“The Courts treat acts of dishonesty very seriously, and as this case shows, the consequences of such offences can include significant jail time,” Turton said.
In handing down his sentence, Judge Forde ordered the Airlie Beach man be recommended for parole after 16 months.
