Petricevic gets big jail sentence

Former Bridgecorp managing director Rod Petricevic has been sentenced to six and a half years in jail for misleading investors in the failed finance company.

Thursday, April 26th 2012, 11:41AM 4 Comments

by Niko Kloeten

Earlier this month Petricevic was convicted on all 18 charges brought by the Financial Markets Authority under the Crimes, Securities and Companies Acts.

The charges related to misleading statements in company prospectuses, investment statements and advertising material.

Petricevic faced up to 10 years in jail, the maximum sentence under the Crimes Act charges.

His lawyer Charles Cato pushed for a starting point of six years in jail, while Crown prosecutor Brian Dickey argued for eight.

Justice Venning opted for a starting point of seven and a half years, giving a 10% discount on the basis that Petricevic's age (62) would make prison difficult and the fact that this was his first criminal offence.

The judge also acknowledged the effect the intense media scrutiny had had on Petricevic's family; however, he said he had not shown true remorse for his actions.

"I am not satisfied you have shown your remorse is genuine. You have said you are remorseful, but at the same time you maintain your innocence."

Justice Venning later added, "You may be sorry investors lost their money, but that is not true remorse."

The misleading statements included a claim that Bridgecorp had never missed a payment to investors, a claim it continued to make for months after a late payment in February 2007.

Bridgecorp eventually collapsed in July 2007, owing $459 million to more than 14,000 investors.

Fellow Bridecorp directors Robert Roest, Gary Urwin, Peter Steigrad and Bruce Davidson have all been convicted in relation to the company's failure.

Davidson was given home detention while Urwin was recently sentenced to two years in jail. Steigrad and Roest have yet to be sentenced.

Petricevic and Roest also face a trial in September on separate charges brought by the Serious Fraud Office.

Niko Kloeten can be contacted at niko@goodreturns.co.nz

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Comments from our readers

On 26 April 2012 at 12:21 pm Throw away the Key said:

6.5 years, or 78 months, in a virtual country club outside Turangi, and out in probably 39 months. Punished? Ha! $459 m / 39 = $11.76 million per month.

On 26 April 2012 at 12:25 pm Mike said:

"Justice Venning opted for a starting point of seven and a half years, giving a 10% discount on the basis that Petricevic's age (62) would make prison difficult and the fact that this was his first criminal offence."
10% discount??? Is this Warehouse justice? and isn't 10% of 10 years, 1 year, so 9 years sentence would be more like it?
A 10% discount because HE is 'old' is insulting to those who will suffer their final years destitute thanks to this thief.
And another discount for his "first offence"? More like his FIRST CONVICTION, but THIS IS unlikely to be his first offence.

On 27 April 2012 at 12:14 pm w k said:

Very cheap sentence. Rod should be celebrating.
@throw away the key, I doubt he made $11.76m per month and he'll be out in 4 for 'good behaviour. Try putting an advert for someone who's prepared to go to jail for 4ys and gets paid $1m per year - your ordinary mail box won't cope with the number of applicants.

On 27 April 2012 at 1:45 pm Throw away the Key said:

@ w k - I meant that he will serve only 1 month for each $11.76 million he managed to lose through incompetence & downright dishonesty.