The corporate watchdog alleges Healthzone’s former executive chairman Peter Roach obtained a loan from the company under false pretenses.
Two directors of Healthzone, the collapsed listed company that previously ran the Healthy Life retail franchise chain, have been charged with conspiring to defraud the company and its shareholders of $1 million.
An investigation by the corporate watchdog alleges that former executive chairman Peter Roach and executive director Ge Wu conspired to obtain a $1 million loan from Healthzone.
Although the stated aim was for Mr Roach to buy 800,000 shares, according to a change of director’s interest notice to the market on June 14, 2011, the Australian Securities and Investment Commission has alleged that Mr Roach used the money for personal benefit.
Mr Roach appeared before Sydney’s Downing Centre Local Court on Tuesday charged with one count of conspiring to defraud, according to an ASIC statement released on Wednesday. Mr Wu previously appeared before Sydney’s Central Local Court on June 23 charged with a similar offence. Neither man entered a plea.