Latest / Best of Business / Jenee Tibshraeny: NZ Herald Wellington business editor on the Court of Appeal allowing BNZ to close Gloriavale's bank accounts

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Jenee Tibshraeny: NZ Herald Wellington business editor on the Court of Appeal allowing BNZ to close Gloriavale's bank accounts · Best of Business

• 0:09
  Speaker 1: You're listening to a podcast from News Talk zed B.
• 0:12
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• 0:16
  Speaker 2: Petrol stations aren't the only ones trying not to lose
• 0:20
  Speaker 2: their access to banking. As we talked about yesterday, Gloria
• 0:23
  Speaker 2: Vale has lost the battle against Benz as well. Jeanne
• 0:27
  Speaker 2: tips Trainey is with me. She is The Herald's Wellington
• 0:29
  Speaker 2: Business editor. Janney good evening, Hey Royan, good to have
• 0:33
  Speaker 2: you on the show and tell me about the You've
• 0:35
  Speaker 2: been speaking to Gloria Vale's lawyer. Are they going to
• 0:38
  Speaker 2: take this further? Are they going to take further action
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  Speaker 2: about the decision from the Benzette.
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  Speaker 3: Look, I've actually been talking to the chief executive of
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  Speaker 3: the trust behind Gloria Vale, that's the Christian Church Community Trust,
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  Speaker 3: a man called Phil Jamison. He's not actually in Gloria Vale,
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  Speaker 3: but he is helping manage Gloriavale's affairs.
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  Speaker 2: Now.
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  Speaker 3: Phil said to me, and I quote, it will not
• 1:01
  Speaker 3: be the end of the community. He is fairly adamant
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  Speaker 3: that Gloria Vale will be able to find an alternative
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  Speaker 3: once bean Z closes its accounts in three months time.
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  Speaker 3: That seems to be the current plan so Phil wouldn't
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  Speaker 3: give away too much. He said, these are commercial you
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  Speaker 3: know decisions there or you know, commercially sense of information.
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  Speaker 3: But he said Gloria Vale was actively pursuing a range
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  Speaker 3: of options. I asked him, well, could Gloria Vale get
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  Speaker 3: an overseas bank to deal with it? And he said
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  Speaker 3: that was highly unlikely. You know, the thing here is
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  Speaker 3: that you would imagine that Gloria Vale does need a bank.
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  Speaker 3: Its net assets are worth at least forty seven million dollars.
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  Speaker 3: That's a lot of money, and you know, it needs
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  Speaker 3: somewhere to put its money, and it needs to be
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  Speaker 3: able to transact to you know, keep its various commercial
• 1:54
  Speaker 3: farming entities going, keep you know that the people fed
• 1:58
  Speaker 3: and the kids are educated, and laundry going and all
• 2:01
  Speaker 3: that type of thing.
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  Speaker 2: Yeah, so what, Yeah, it's an interesting one. Hopefully they
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  Speaker 2: have managed to find kind of solution for them. But
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  Speaker 2: generally speaking, the issue of d banking seems to creep
• 2:13
  Speaker 2: up more and more at the moment. Should we feel
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  Speaker 2: uncomfortable about that?
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  Speaker 3: Yeah, I think we've actually had a couple of weeks
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  Speaker 3: of lots of D banking news with the petrol stations
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  Speaker 3: and this, I think It's actually been something that's been
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  Speaker 3: happening for some time, and it's been well marked. So
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  Speaker 3: if we go back to the petrol stations issue, I
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  Speaker 3: know that, you know, central bankers have for the past
• 2:35
  Speaker 3: decade been worried about stranded assets. That's you know, investors
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  Speaker 3: pulling out of sunset industries due to climate concerns, you know,
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  Speaker 3: and banks also pulling out. That's what we're starting to
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  Speaker 3: see that has been well signaled. In Gloriavale's case, I
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  Speaker 3: think it's quite different, you know, because Gloria Vale has
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  Speaker 3: been found guilty of, you know, using children to do work,
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  Speaker 3: and there are also charges related to sexual harassment. So
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  Speaker 3: Gloria Vale is quite different to the petrol stations. A
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  Speaker 3: few years ago, there was a lot of riff raff
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  Speaker 3: because money rema we're being d banked because banks were
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  Speaker 3: worried about money laundering concerns. You know, if you're a
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  Speaker 3: money remitter, it's hard for the bank to know exactly
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  Speaker 3: where the money is coming from and who it's going to.
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  Speaker 3: So I actually think it's an issue that's been happening
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  Speaker 3: for some time. It's just happens to have been in
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  Speaker 3: the news quite a bit in recent weeks.
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  Speaker 2: Yeah, interesting that, Jana, Thank you very much. Jane Tips Training,
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  Speaker 2: the New Zealand Herald Wellington Business Editor.
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