The Serious Fraud Office has laid charges against an options trader accused of using $2.5 million dollars of investors money.
Gregory Arnott of Derivatek, traded on behalf of New Zealand clients on the Australian Stock Exchange.
The SFO alleges he used the money to fund a portion of an advance fee for a US$20 million loan and for personal use.
To conceal this Arnott is accused of issuing false statements to investors.
SFO chief executive Simon McArley says this is a growing problem and highlights the importance of looking beyond personal connections and carefully assessing the risk of investments.
Arnott will appear in court on November 13.
Photo: NZ Herald