A former police officer turned private eye is disappointed no government agency is prepared to investigate a potential scam that's led to some 40 people out of pocket.
Members of the group say they all individually invested thousands of dollars with Northland-based David Warren and his company XM Global Limited - but say since late 2021 they have not been able to contact him or withdraw their investments.
NZ Private Investigator, Nick Mayer, estimates the combined loss across the group is around $3m - with alleged victims scattered across New Zealand, South Africa, the United States and Europe.
But more than two years after he was called into investigate the case, he's frustrated that aside from a warning issued by the Financial Markets Authority (FMA) in 2021, there's been no resolution.
The former cop believes the evidence in the case is strong and that it warrants further investigation by the Serious Fraud Office (SFO).
"These people have nowhere to turn to, every agency has turned the finger in the other direction," he says. "No-one here is looking after these victims."
One woman, who did not want to be identified, says her whole family has lost thousands of dollars worth of savings after they invested it with Warren. She'd been convinced that investing her money in his scheme was a good idea.
"I started slowly, just put a little bit in at first, not all of it. I put money in and I took it out, it came out quite easily."
And as her investment grew, so did her family's confidence in the scheme as a safe investment, leading her daughters and sons to invest in it too.
But, in late 2021 it seemed to collapse, when they didn't get their regular statement. Then a string of messages shows how they attempted to contact Warren to withdraw their money. After initial replies indicating he'd been unwell, the messages eventually stopped all together.
Two years on and the family says they have not heard from him, nor received any money.
After several complainants contacted the FMA in 2021 - a warning was issued. The authority warned XM Global Limited was not a registered financial provider or regulated by the FMA.
In a statement released to 1News the Authority says the warning still stands and the case was referred to the SFO.
A spokesman for the SFO confirmed its inquiries were closed in 2022. "The Director has the discretion to reconsider a decision not to investigate, for example, if circumstances change or new information becomes available. In this case the enquiry into David Warren remains closed."
In late 2022, the group was advised to take the case to the NZ Police. But earlier this year the complainants were once again told that it was more a matter for the SFO.
Quay Chambers Barrister Michael Thomas is unable to comment on what has happened here, but says generally there can be a gap between what NZ Police and the SFO can prosecute.
"The Serious Fraud Office has to be strategic about what cases it can take on. It's a relatively small department with 70 to 80 staff. Similarly the police will have limited resources."
Attempts to contact David Warren for comment via his last known contact details have not been responded to.
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