Look’s like Hubbard’s cupboard is bare

Old Mr Hubbard went to the cupboard
To find his investor’s cash
When he got there, the cupboard was bare
And the poor old duffer found he’d blown their stash!
I feel sorry for Allan Hubbard. It is clear, following last week’s statutory manger’s report, that he is just a poor, old duffer who is well past his prime, but he is no crook.
However, what I am sick and tired of is the irrational and tiresome whinging by his self-proposed supporters and their nonsensical campaign to “Save Allan Hubbard”.
They are actually doing the poor old bloke more harm than good and fast burning up any public sympathy that maybe left for the Timaru businessman
Despite a rather damning and concerning report late last week by statutory managers Grant Thornton, which had shown how complex and major issues there are around prospects of returns to investors involving Hubbard’s management of seven charitable trusts, as well as companies Aorangi Securities and Hubbard Management Funds.
Yet, Hubbard delusionary supporters have written to Prime Minister John Key claiming "the only evidence the Government has produced remains speculation and rumour, with no evidence whatsoever to support the reports so far produced".
Really? How about the following for evidence, then?
Last week’s report said investors in Hubbard's Aorangi Securities, already stressed because of the frozen funds, are unlikely to see any significant return of capital until next year.
Meanwhile, about 300 investors in Hubbard Management Funds (HMF) have been told the company overstated its value by at least 25 per cent on March 31, reporting non-existent investments and cash balances. HMF assets were worth only $61 million at the end of March, not $82 million as stated.
It appears Hubbard's widespread investments in the dairy sector are unravelling as lenders are unable to pay, leaving an estimated 50 per cent shortfall in interest payments. According to Grant Thornton, of Aorangi's loans to dairy farms only 17 loans out of 51 will meet their September 30 deadline interest payment obligations - a shortfall of $1 million, or 50 per cent of what is due to Aorangi investors.
That seems pretty strong evidence to me, but it is clear the Hubbard supporters are irrational and will never listen to reason.
I too was a strong supporter and admirer of Allan Hubbard. Especially the way he has conducted his affairs in comparison to other finance company shysters.
However, the evidence is now clear that Allan Hubbard, while not a fraudster, is just as culpable in destroying the wealth of many New Zealanders just like the Hotchins, Watsons and Bryers’ of the finance world. And, just like them, he has done it via combination of both bad luck and bad management.
I wish it was a different story, but it is not. It is time his supporters woke up and smelled the coffee – the emperor has no clothes and the cupboard is bare!