waterstone INSOLVENCY LIQUIDATORS FIRST REPORT Pursuant to Section 255(2)(c) ofthe Companies Act 1993 Hansa Limited (In Liquidation) "the Company? (1606746) 1. APPOINTMENT The Company was placed into liquidation on 24 November 2016 at 12:32pm by order of the High Court pursuant to section 241(2)(c) of the Companies Act 1993 ("the Act"). Steven Khov and Damien Grant, Insolvency Practitioners of Auckland, were appointed joint and several Liquidators. The Liquidators have made the appropriate enquiries and are of the opinion that they are not barred from acting under section 280 of the Act. 2. ATTACHMENTS The following appendices accompany this report: Appendix A: Notice of Liquidators? decision to dispense with meeting of creditors pursuant to section 245 ofthe Act. Appendix B: List of known creditors including their addresses as required by section 255(2) of the Act 3. BACKGROUND OF COMPANY STRUCTURE Date of Incorporation: 15 March 2005 Type of Business: Investment Manager/ Ponzi Scheme Director: Paul Clifford Hibbs Shareholder: Paul Clifford Hibbs Number of shares: 1,000 P.0. Box 352. Shortland Street, Auckland 1140 - enquiries@waterstone.co.nz - P. 0800 CLOSED (256 733) - F. 0800 FAXWSI (329 974) - a HISTORY AND EVENTS THAT PRECIPITATED THE LIQUIDATION The Company was incorporated on 15 March 2005 and operated a business providing financial advice and investment management services. The Liquidators? initial investigations indicate the Company failed to invest and manage funds in accordance with the investment agreements signed with the investors. Instead, the Company appears to have been run as a Ponzi scheme under which investors? funds appear to have been misappropriated. It appears that a number of related entities, in particular Cameron Gladstone Investments Limited, are similarly involved in the fraud. The Liquidators have taken steps to freeze the related entities and the personal assets ofthe director, Paul Clifford Hibbs. DECISION TO APPOINT LIQUIDATOR The Liquidators were appointed by order of the High Court pursuant to section 241(2)(c) of the Act. The liquidation of the Company commenced on 24 November 2016 at 12:32pm. PERSONAL PROPERTIES SECURITIES OF TITLE A search of the Personal Properties Securities Register revealed no security interests registered against the Company at the date of liquidation. Should any creditor believe that they have a security over any property or proceeds from the realisation of the property, they should contact this office immediately. PROPOSAL FOR CONDUCTING THE LIQUIDATION The liquidation shall be focused on identifying all assets of the Company, as well as the identification and recovery of misappropriated funds, so that they may be realised for the benefit of creditors. The Liquidators will also conduct an investigation into the affairs of the Company with a view to determining if any insolvent transactions have occurred or if there have been any breaches of legislation by the Company?s officers. Should any breaches of the Act be sufficiently evidenced, such breaches will be reported to the relevant authorities. Should there be evidence of an action which is likely to increase the value of funds recovered for the benefit of creditors in the liquidation, the Liquidators intend to take advantage of section 1(e) of Schedule 7 of the Companies Act 1993. 10. 11. FURTHER INFORMATION ABOUT THE COMPANY Should you have any information that you believe would assist the Liquidators, please provide this in writing with supporting evidence attached. Please note that the Liquidators can only act on written information as any conversations would be regarded as hearsay only by the Court. PREFERENTIAL CREDITORS It is unknown at this stage if any amounts are owed to the Inland Revenue Department or former employees. PROSPECT OF A DISTRIBUTION From the present information it is unknown if there will be a distribution to unsecured creditors. If you are owed money by the Company you can assist the liquidation by lodging a claim. A proof of debt form is enclosed along with this report; alternatively one may be downloaded from ESTIMATED DATE OF COMPLETION It is not practical at this stage to estimate the time for completion for this liquidation. If unsecured creditors have not yet completed a proof of debt form and filed that with supporting documentation with the liquidation, they must do so as soon as possible. 12. ESTIMATED STATEMENT OF AFFAIRS Hansa Limited (In Liquidation) Estimated Statement of Affairs as at Date of liquidation Assets 5 Total Assets Unknown Liabilities Total Liabilities Unknown Surplus/(Deficit) Unknown Disclaimer of Liability The Liquidators have prepared the Estimated Statement of Affairs as at the date of Liquidation. The Estimated Statement of Affairs has been prepared based on information from the books and records of the Company. This information has not been verified. The Liquidators have not carried out an audit or reviewed the information supplied and therefore does not accept any responsibility for the accuracy of the information from which the Estimated Statement of Affairs has been prepared and that the Estimated Statement of Affairs has been prepared for the purposes of this liquidation only in accordance with section 255 of the Companies Act 1993. Dated at Auckland this deay of Emmi-$017. amien Grant Liquidator Steven Khov Liquidator Appendix A NOTICE OF DECISION TO DISPENSE WITH MEETING OF CREDITORS Hansa Limited (In Liquidation) Pursuant to Section 245 ofthe Companies Act 1993 (?the Act?) After having regard to the assets and liabilities of the Company and the likely result of the liquidation, the Liquidators intend to dispense with a meeting of creditors as provided for in section 245 of the Act on the grounds that there are no currently known issues in the liquidation which require the consideration ofthe Company?s creditors. However, we do not wish to preclude creditors from expressing their views. Please contact our office if you have any specific enquiries. You are advised that should you require a meeting pursuant to section 243 of the Act, notice in writing is required within 10 working days of receiving this notice. At the time of giving notice you must also state the reason you require a meeting so that an agenda can be prepared and advertised and creditors can be given the opportunity to vote on any issue. A Dated at Auckland this 26 day of Mil/@017. Steven Khov Liquidator Liquidator Appendix LIST OF KNOWN CREDITORS Pursuant to Section 255(2) ofthe Companies Act 1993 (as amended) CREDITOR ADDRESS Inland Revenue Department PO Box 39010 Wellington Mail Centre Lower Hutt 5045 DocEvans Family Trust Brent Laurie Robinson Richard Jill Bromley Richard Fright Family Trust Marxen Tony Gin