Story: Business failures and corporate fraud

NZ Perpetual Forests prospectus

This prospectus was issued in 1931 by NZ Perpetual Forests to attract investors in forestry. Like other forestry bonds, especially John McArthur’s Redwood Forests, these were later described as ‘junk bonds’ because they made many promises but provided few guarantees. A number of such businesses, including Redwood Forests, came close to collapse in the economic depression of the early 1930s. NZ Perpetual Forests, however, eventually provided capital for the successful enterprise NZ Forest Products.

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Alexander Turnbull Library
Reference: S-L 1012-FRONT; S-L 1012-TITLE

Permission of the Alexander Turnbull Library, National Library of New Zealand, Te Puna Mātauranga o Aotearoa, must be obtained before any re-use of this image.

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How to cite this page:

Graeme Hunt, 'Business failures and corporate fraud - Government intervention, 1890–1940', Te Ara - the Encyclopedia of New Zealand, (accessed 12 August 2022)

Story by Graeme Hunt, published 11 Mar 2010