Trader faces jail over lost millions

Gold markets trader Steven Robertson has been found guilty of spending millions from investors on jewellery, cars, dining out and mortgage payments.

In May, Robertson, 46, pleaded not guilty to 47 charges laid by the Financial Markets Authority in the High Court in Auckland. These included 28 counts of theft, 11 of obtaining by deception and eight of dishonestly taking, or using a document, namely using the investors credit card details.

Yesterday, Justice Sarah Katz found Robertson guilty of 23 charges of theft by a person in a special relationship, all 11 of the obtaining by deception charges, and four charges of dishonestly using a document.

Robertson was found not guilty of six charges, while the remainder of the charges had earlier been dismissed.

Each charge carried a maximum penalty of seven years’ prison.

Robertson was remanded in custody ahead of sentencing on October 30.

In May, Financial Markets Authority (FMA) lawyer Ben Finn said Robertson and his staff originally sold the investors computer software for trading on the financial markets. The software that Robertson sold through telemarketing cost thousands of dollars and was supposed to provide guidance about when investors should buy and sell their investments.

Finn said the software required ‘‘some level of expertise by the investors’’ to use, so when they started complaining about difficulties using the software, Robertson offered to invest on their behalf through his companies. Robertson lied to the investors and it could not find any evidence of any of their money having been invested.

Finn said the FMA’s forensic accountant found the investors gave Robertson more than $10 million but only a fraction was returned to them.

Robertson operated this way from 2009 until his company, Prosper Through Trading, went into liquidation in December 2015. When investors started to chase Robertson for their money he told them to keep waiting, or that he needed more money, Finn said. He allegedly told some that their investments were flourishing.

Finn said some investors received full refunds, but others did not get any money back.

Robertson also offered many investors shares in four companies he owned, however, the investors were never named as shareholders in Companies Office records, Finn said.

The investors became increasingly frustrated and in 2015 alerted the FMA which launched an investigation into Robertson and his companies. The investors are from New Zealand and Australia.