North Island property developer jailed for $52 million fraud

Article – BusinessDesk

North Island property developer jailed for $52 million mortgage fraud

By Sophie Boot

Feb. 9 (BusinessDesk) – A North Island property developer has been sentenced to four years and seven months in prison for his part in a $52 million mortgage fraud scheme.

Kang (Thomas) Huang, also known as Gang Wang, was sentenced today in the Auckland High Court, the Serious Fraud Office said in a statement. Huang pleaded guilty to eight charges of obtaining by deception, one charge of corruptly giving consideration to an agent, and one charge of dishonest use of a document. He will serve a minimum non-parole period of two years and three months.

Huang operated a property development business and received $52 million in bank loans after providing false documents and information to several banks across multiple home loan applications, the SFO said.

“Such use of deception, and bribery in one instance, undermines lenders’ confidence in borrowers in the mortgage market,” said SFO director Julie Read. “If banks have to introduce additional checks, these costs may be passed on to borrowers increasing the cost of mortgages for all. The sentence imposed today reflects the serious nature of misconduct in this case.”

Huagn’s wife Kang Xu (also known as Yan (Jenny) Zhang), lawyer Gang (Richard) Chen and former bank employee Zongliang (Charly) Jiang, will appear in the Auckland High Court for trial on Feb. 26.

(BusinessDesk)

ends

Content Sourced from scoop.co.nz
Original url