Adviser jailed over theft charges

Murray McClune has been sentenced to three years and seven months behind bars after defrauding two elderly couples of $1.7 million over six years.

The registered financial adviser, who had worked in insurance since the late 1960s, convinced the clients - some of whom he'd advised for decades - to hand over funds for investment. Instead, he spent their money on property, travel and other personal expenses.

McClune issued falsified statements to hide the theft until clients demanded their money back and discovered the fraud.

The court has permanently banned him from directorships, management roles and providing financial advice. No reparation was ordered.

Financial Markets Authority (FMA) enforcement head Margot Gatland said McClune exploited close personal relationships with vulnerable investors.

“His conduct was both deliberate and dishonest, and involved a gross breach of trust,” she said. “The conduct arose in the course of his role as a financial adviser, a position he used to take advantage of his clients.”

McClune previously served time for stealing $203,500 from another longtime client between 2009 and 2010 - a family friend whose deceased husband he'd also advised. The latest offending began before he faced charges in that earlier case.