The ex-harness racing trainer, Mitchell Kerr, from New Zealand, stands accused of infringing the nation’s bankruptcy regulations by wagering over $1.19 million (US dollars at current exchange rates) prior to declaring insolvency – an infraction that is but one of many against him.
Previously regarded as a prosperous trainer during his three-year tenure, Kerr boasted an impressive record of 87 wins. However, his streak of fraudulence within the industry brought his career to a premature end, resulting in a permanent prohibition.
Kerr was subjected to seven months of home confinement in June 2022, as a consequence of fraudulent proceedings linked to the sale of an inexistent horse in 2019. Instead of producing purchase documentation for the fictitious equine creature, which the buyer bought for approximately $24,000, Kerr attempted evasion, implying the horse did not meet expectations.
In a bid to sustain the guise, Kerr sent photographs of a different equine creature, also coercing the victim into bearing an additional $15,500 for assorted costs and insurance charges.
Breach of New Zealand’s Insolvency Act by Kerr
Beyond the bogus horse sale, Kerr is found guilty of contravening New Zealand’s Insolvency Act. Kerr reportedly bet more than $1.19 million on horse and dog races shortly before declaring bankruptcy. His excessive betting habits made a considerable contribution towards his insolvency, as stated in the lawsuit.
Moreover, Kerr is incriminated for declaring an annual income of $24,000, wherein, he, in truth, amassed approximately $136,000. To compound the transgressions, he falsely claimed only one bank account was created in the past three years, when he had in fact established six.
Adding to his string of violations, Kerr continued to play an active role in the administration of Mitch Kerr Racing, an action banned under New Zealand’s bankruptcy laws.
As a consequence of these infringements, Kerr has been handed down a five-month home detention sentence.
