The first Westpoint director to face criminal charges over the property collapse has had his bail extended until April 3.
Neil Burnard faced Sydney’s Downing Centre local court on Tuesday charged with four counts of engaging in dishonest conduct in relation to a financial product while operating a financial services business and 14 counts of obtaining money by false or misleading statements.
Appearing with his lawyer, Sydney-based barrister Michael Wigney, Burnard did not enter a plea and the case was adjoined to April 3.
He was first granted bail at his first court appearance on 19 December 2006.
ASIC is investigating the finance spruiker and his company Palentia Pty Limited, formerly known as Kebbel (NSW) Pty Ltd over its fundraising for the Westpoint Group’s mezzanine companies.
ASIC alleges that Burnard lied to investors to obtain financial advantage for Westpoint because Kebbel Investment Bank, the name of the company marketed to investors, was not a bank and never existed.
ASIC says Palentia raised more than $100 million for Westpoint from retail investors, mainly in New South Wales and Queensland and earned commissions from Westpoint of approximately $6.5 million. The regulator believes it is now insolvent.
The NSW Supreme Court has banned Burnard from disposing of assets until 30 July 2007 and ASIC has confiscated his passport. He is allowed to pay for ordinary living, legal and operating expenses and school fees for his children.
Another director of both Westpoint and the Kebbel group, Richard Beck, has had orders made against him by the Federal Court in Perth over his involvement in the managed investment schemes.
