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NZ Barry Hart back in court to stop mortgagee sale

Property Here - Wednesday, March 20, 2013

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Struck-off Auckland lawyer Barry Hart was back in court today fighting to stop the mortgagee sale of one of his properties by the ANZ bank.

Last year Mr Hart lost his multimillion-dollar properties northwest of Auckland after owing $30 million to the ANZ National Bank.

Associate Judge David Abbott last year ordered Mr Hart to vacate the last property so it could be sold by the bank, and said Mr Hart was liable for the $20,543,951.92 outstanding on his bank loan.

At the Court of Appeal in Wellington today, Mr Hart appealed against the mortgagee sale of the 72ha Waimauku property, worth $3.6 million.

The bankrupt lawyer is attempting to appeal against his debt status but the court was today told the Official Assignee who was assigned to look after his finances had dropped Mr Hart's appeal.

ANZ lawyer Laura O'Gorman said today it was imperative that nothing hinder the sale of the property.

She said Mr Hart's strategy throughout his court hearings was "one of delay''.

She said documents from the bank to Mr Hart outlined the funding proposal of various loans totalled more than $33 million.

A list of securities on the document included the Waimauku property.

But Mr Hart's lawyer, Jeremy Bioletti, said the property was not specifically mentioned in the loan document and the property was also part of a trust.

"There's no issue that the money is owed, the issue is, is it secured.''

Ms O'Gorman said the bank was never informed the property was part of any trust.

Mr Hart hired his counsel yesterday and Mr Bioletti said there were some aspects to the long legal battle over his client's finances that he was not up to speed with.

Justice Lynton Stevens said it appeared he was "behind the eight ball''.

Justices Stevens, Ellen France and Douglas White reserved their decision.