IMPASSE - I Mogridge PASSE - Time for you to leave, Bryan.

Bryan Mogridge

Bryan Mogridge announced the resignation of PGC's auditor KPMG here https://www.nzx.com/files/attachments/156954.pdf

What readers of this blog find interesting is Bryan Mogridge's choice of words. Apparently PGC arrived at a "technical impasse" on certain matters. You know, those famous words were not "Houston, we have a technical impasse" they were "Houston, we have a problem", a credibility problem. You clearly choose to ignore the history that led to your "technical impasse".




First, this blog, the press and shareholders have been complaining about your lack of independence for months.
Second, this blog, the press and shareholders have been complaining about related party transactions for years.
Third, this blog and shareholders have complained about your aloofness for months. You chose mostly to not communicate and when you did you did not do so clearly or in a transparent manner.
Fourth, you consistently told shareholders you were going to do one thing (e.g. return Heartland & PGW shares and cash) and then did the exact opposite (you conveniently did not disclose a critical fact, which is that you used those shares and cash you promised to return as security for a loan to support Heartland to buy a business of PGW).

So, in this context you refuse to tell your auditors about certain transactions, because you do not think they should be classified as related party transactions? The credible reply would have been, "We have nothing to hide. Please go ahead and look at any transaction and if you think it is a related party transaction then we will disclose it"





You did not do that, you chose to put out the communication below, which speaks for itself and simply serves to underscore what was said above. The last sentence is illuminating. "or investors in our wealth management funds". Some readers were speculating when the exodus of business on the wealth management side will start and the fact that you now refer to them for the first time indicates to us that the exodus has begun. How could any trustee or pension fund justify keeping business with Perpetual when you have an FMA, with the SFO short on its heels, investigation, KPMG resigning and Irvine and Duncan leaving? You see, "I trust Bryan and George" just do not cut it anymore.

IMPASSE - A road or passage having no exit; a cul-de-sac. 2. A situation that is so difficult that no progress can be made; a deadlock or a stalemate.

PASSE - 1. Past; gone by; hence, past one's prime; worn; faded; as, a passée belle . 2. Same as old-fashioned,  3. Past

IMPASSE - I Mogridge PASSE - Time for you to leave, Bryan.






Bryan Mogridge: Trying to put out the fire