The Government is looking into stripping Sir Douglas Graham of his knighthood.
The former director of Lombard Finance was convicted in the High Court in 2012 of making false statements in a company prospectus.
On Thursday, he failed in his attempt to have the conviction overturned.
Lombard Finance collapsed in 2008, owing investors more than $111 million.
Three other company directors William Jeffries, Michael Reeves and Lawrence Bryant were convicted on the same charges.
All were sentenced to community work and Sir Douglas and Mr Bryant were ordered to pay $100,000 each in reparation.
Prime Minister John Key said on Thursday he would seek advice on what could happen with the knighthood.
Mr Key said it is a very significant event for someone to be given the honour and in Sir Douglas's case, he got it for tremendous service in Treaty of Waitangi settlements.
He said it would be a very big step to remove the knighthood, but it has been done in the past with other awards.
"If there was to be a removal of his honour, then that's at the discretion of the Government, but we always try and be fair."