Guardian Trust is hunting down assets owned by former employee Rebecca
Ralph after she admitted stealing $360,800 over a ten year period. Joint ownership of her family home is proving
a stumbling block.
Ralph
admitted the thefts in November 2016.
She systematically misappropriated money from twenty client
accounts. Many of these clients were
elderly and intellectually disabled.
Ralph held enduring powers of attorney for some. Guardian Trust has made good the money
stolen. It currently holds a court
judgment against Ralph for a total of $407,880.
Guardian Trust has a charging order against Ralph’s Wellington family
home. It wants to sell the property but
is stymied by the fact it is owned jointly by Ralph and her husband Tony. The charging order allows Guardian Trust to
sell only Ralph’s half-interest in the home.
No one wants to buy a half interest in a family home. To enable a full sale, Guardian Trust went to
the High Court alleging Ralph’s husband knowingly received stolen money and is
equally liable for repayment.
The High
Court was told of the money stolen: $270,100 was paid into the Ralphs’ joint
account; $10,000 into Mr Ralph’s business account, and; $80,200 paid directly
to two of his creditors as wages to employees and rent to his landlord. As a self-employed builder, Tony Ralph’s main
customer was Jennian Homes.
Guardian
Trust said it was self-evident that Mr Ralph knew of his spouse’s fraud and
that he was personally liable for knowing receipt. It asked for summary judgment against Mr Ralph. Refusing summary judgment, Associate judge
Smith said this is a claim that should go to a full hearing. A finding of knowing receipt amounts to a
finding of criminal conduct. Mr Ralph
has a possible defence, he said. Mr
Ralph claims that his spouse did all the ‘book work’ for his business and that
he had no knowledge of her fraud.
NZ Guardian Trust Co Ltd v. Ralph – High Court (13.02.18)
18.036