The Monetary Markets Authority (FMA) of New Zealand has made an interim cease order in opposition to David Elgar McEwen and entities related to him from making gives of economic merchandise and from accepting any additional or new deposits or investments in respect of these monetary merchandise.
The interim cease order additionally prevents Mr McEwen, entities related to him, and any individuals employed by him, from making any communications in regards to the provide of these monetary merchandise.
The entities related to Mr McEwen are Stockfox Restricted, Cosmopolitan Holdings Restricted, Technique Providers Restricted, Fund Administration Providers Restricted, Digitech 1 Restricted, M and A Holdings 1 Restricted, M and A Holdings 2 Restricted, Agtech 1 Restricted, Agtech 2 Restricted, Agtech 3 Restricted, Startight Holdings Restricted, Modern Capital Restricted, and McEwen’s Restricted Partnership.
A cease order is a regulatory device the FMA can use to cease or stop promoting or disclosure that’s false or deceptive, or is prone to confuse customers or buyers, on issues that affect their funding choice.
The FMA has made this interim order as a result of it’s contemplating whether or not it could situation a everlasting cease order in opposition to Mr McEwen and entities related to him. The FMA is worried that Mr McEwen and entities related to him could have been making gives of economic merchandise that:
- are false or deceptive, or prone to mislead or confuse; and
- comprises a cloth misdescription or materials error; and
- don’t adjust to the Monetary Markets Conduct Act 2013 (FMC Act) or the rules made below the FMC Act.
The regulator considers that making this order is within the public curiosity as a result of there may be actual threat of investor hurt arising from actions of Mr McEwen and associates that look like dishonest and deceptive and to not adjust to the FMC Act.
The interim cease order prohibits Mr McEwen and entities related to him from:
- accepting any purposes for monetary merchandise provided straight or not directly, by or for Mr McEwen and entities related to him; and
- accepting any additional or new contributions, investments, or deposits in respect of economic merchandise which were straight or not directly provided by or for Mr McEwen and entities related to him at any time.
The interim cease order additionally prohibits Mr McEwen, entities related to him, and any individuals employed by him, from making and/or distributing any restricted communication in respect of any direct, oblique or supposed provide of economic merchandise by or for Mr McEwen and entities related to him to any particular person (whether or not they’re a retail or wholesale investor).
The order stays in pressure till December 21, 2023.
