KiwiZac wrote:There had been whispers for a while, but it hit mainstream New Zealand news yesterday.
The caption of one of the photos mentioned name suppression appeals ending, and the Serious Fraud Office issued a media release.
https://www.sfo.govt.nz/charges-laid-in ... fraud-caseCharges laid in The Vintage Aviator fraud casePublished 06 May 2019
A Wellington man has been charged by the Serious Fraud Office in relation to funds paid for the purchase of reproduction aircraft and the unauthorised use of an aircraft as security to obtain a loan.
Eugene John DeMarco (57) first appeared before the Wellington District Court in May 2018, where he pleaded not guilty to the fraud charges and was remanded on bail.
Mr DeMarco faces charges of ‘Theft by person in a special relationship’ or ‘Obtaining by Deception’, as alternative charges, in relation to the sale of three reproduction vintage aircraft to the New Zealand Warbirds Association Inc. He arranged the sales in his capacity as production manager for The Vintage Aviator Limited.
The SFO has also charged Mr DeMarco with ‘Theft by person in a special relationship’ and ‘Obtaining by Deception’ in relation to the unauthorised use of another vintage aircraft as security to obtain a loan.
Mr DeMarco, who is a citizen of the United States, is scheduled to stand trial in the Wellington High Court on 26 August.
ENDS
Issued by
Henry Acland
Serious Fraud Office
027 705 4550
Note to editors
BACKGROUND TO INVESTIGATION
Eugene John DeMarco (57) is a United States citizen and New Zealand resident.
The Vintage Aviator Limited is a Wellington-based company that manufactures reproductions of First World War-era aircraft. Sir Peter Jackson owns the company.
CRIMES ACT OFFENCES
Section 220 Theft by person in special relationship(1) This section applies to any person who has received or is in possession of, or has control over, any property on terms or in circumstances that the person knows require the person—
(a) to account to any other person for the property, or for any proceeds arising from the property; or
(b) to deal with the property, or any proceeds arising from the property, in accordance with the requirements of any other person.
(2) Every one to whom subsection (1) applies commits theft who intentionally fails to account to the other person as so required or intentionally deals with the property, or any proceeds of the property, otherwise than in accordance with those requirements.
(3) This section applies whether or not the person was required to deliver over the identical property received or in the person’s possession or control.
(4) For the purposes of subsection (1), it is a question of law whether the circumstances required any person to account or to act in accordance with any requirements.
Section 240 Obtaining by deception or causing loss by deception(1) Every one is guilty of obtaining by deception or causing loss by deception who, by any deception and without claim of right,—
(a) obtains ownership or possession of, or control over, any property, or any privilege, service, pecuniary advantage, benefit, or valuable consideration, directly or indirectly; or
(b) in incurring any debt or liability, obtains credit; or
(c) induces or causes any other person to deliver over, execute, make, accept, endorse, destroy, or alter any document or thing capable of being used to derive a pecuniary advantage; or
(d) causes loss to any other person.
(1A) Every person is liable to imprisonment for a term not exceeding 3 years who, without reasonable excuse, sells, transfers, or otherwise makes available any document or thing capable of being used to derive a pecuniary advantage knowing that, by deception and without claim of right, the document or thing was, or was caused to be, delivered, executed, made, accepted, endorsed, or altered.
(2) In this section, deception means—
(a) a false representation, whether oral, documentary, or by conduct, where the person making the representation intends to deceive any other person and—
(i) knows that it is false in a material particular; or
(ii) is reckless as to whether it is false in a material particular; or
(b) an omission to disclose a material particular, with intent to deceive any person, in circumstances where there is a duty to disclose it; or
(c) a fraudulent device, trick, or stratagem used with intent to deceive any person.
ABOUT THE SFO
The Serious Fraud Office (SFO) was established in 1990 under the Serious Fraud Office Act.
The SFO is the lead law enforcement agency for investigating and prosecuting serious or complex financial crime, including bribery and corruption.