Powerhouse chairman Malcolm Richard Stone was also imprisoned for four-and-a-half years for diverting company assets to finance a failed share issue for the energy company listed in New York and London.
In late 1994 Stone struck a joint deal with the Chinese government to finance and build three power stations, and selected Powerhouse Resources – then known as Com-Tek – to push through with the deal.
Bogus underwriters were invented by the two directors after an unsuccessful ‘offer and placing’, which were front companies with no assets and were not in a position to meet their underwriting liabilities.
Stone used the company’s funds to purchase its own shares and for his other business interests.
FD Mottram assisted in diverting the company’s assets, and backed up Stone’s misleading and false statements to the other Powerhouse directors concerning the use of the company’s funds.
The case was brought by the Serious Fraud Office.
Just one half of UK practices have implemented a pricing structure around auto enrolment implementation and advice - with many suffering increased costs
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Accountants should alter their perspective on auto-enrolment to maximise business opportunities, according to Eric Clapton.
Kevin Reed discusses whether new accountancy group Cogital can rival the Big Four...and its likely direction of travel