Financial Markets Authority v Zhong

[2023] NZHC 1841

IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CIV-2019-404-647

[2023] NZHC 1841

BETWEEN

FINANCIAL MARKETS AUTHORITY

Plaintiff

AND

WEI (WALKER) ZHONG

First Defendant

LEI (REGINA) DING
Second Defendant

ZHONGYANG (SEAN) MENG
Third Defendant

JIASHUN (SAM) QIAN

Fourth Defendant

Hearing:

13 July 2023

Appearances:

N R Williams, S Chapman and J Liu for the plaintiff W W Zhong as self-represented first defendant

L R Ding as self-represented second defendant

Judgment:

13 July 2023

Reissued:

17 July 2023

RESULTS JUDGMENT OF ROBINSON J

[On Penalty]

This judgment was delivered by me on 13 July 2023 at 3:30 pm pursuant to Rule 11.5 of the High Court Rules

Solicitors/counsel: Meredith Connell S Chapman - FMA

…………………………………………………………………… Registrar/Deputy Registrar

N R Williams, Britomart Chambers, Auckland

Copy to: Mr Zhong and Ms Ding

FINANCIAL MARKETS AUTHORITY v WEI (WALKER) ZHONG [2023] NZHC 1841 [13 July 2023]

[1]For reasons I will set out in a separate judgment:

(a)I make orders in terms of the draft orders attached to the Memorandum of Counsel for the plaintiff dated 9 May 2023.

(b)Mr Zhong is to pay a pecuniary penalty of one million, three hundred and thirty thousand dollars ($1,330,000).

(c)Ms Ding is to pay a pecuniary penalty of seven hundred and sixty thousand dollars ($760,000).

(d)In each case there will be an order under s 493 of the Financial Markets Conduct Act 2013 that the penalty is to be applied first to pay the plaintiff’s actual costs in bringing the proceeding.

(e)Any other issues concerning costs are reserved.

Robinson J