Supporters of Timaru businessman Alan Hubbard are welcoming an investigation into potential fraud at his company, South Canterbury Finance.
The Serious Fraud Office (SFO) is investigating four loans worth tens of millions of dollars made by the failed lender over a number of years.
Businessman Paul Carruthers, a supporter of Mr Hubbard, has welcomed the move, saying it will move the spotlight to others involved in Mr Hubbard's empire.
Paul Carruthers maintains loans required sign-off by all the firm's directors and says it is unfair to imply Mr Hubbard made lending decisions unilaterally.
The South-Island based lender was placed in receivership in August, costing taxpayers nearly $1.8 billion in payouts under the Government's retail deposit guarantee scheme.
Sale announcement due
Meanwhile, the receiver of South Canterbury Finance says an announcement on the sale of part of the firm will be made in the next few days.
Kerryn Downey from McGrathNichol expects to get better than face value in selling two of the major investments, Helicopters New Zealand and an 80% stake of apple grower Scales. South Canterbury Finance aslo has investments dairy farm owner Dairy Holdings.
An announcement on the sale process for the firm's lending portfolio will be made within the next 10 days.
Mr Downey says he has received more than 175 inquiries for South Canterbury's assets.
