Monday, May 1, 2006

Business Partner, Daughter of Mike Henry Travel Insurance Limited Founder, Convicted of Drug Trafficking, Sentenced

Michael Joseph Cavanagh, a longtime business partner of Michael Paul Henry, a.k.a. Mike Henry, founder of Auckland, New Zealand-based travel insurance provider Mike Henry Travel Insurance Limited, was convicted of drug trafficking and sentenced to 12 years in prison on May 12, 2005. Deborah Anne Henry, daughter of Mike Henry, was also convicted and received a 2-year sentence.

Mike Henry is known to the public in New Zealand for a series of TV ads in which persons who had purchased Mike Henry Travel Insurance experience an improbable number of misfortunes whilst traveling overseas.

Police identified Cavanagh, 31, as a prominent member of an outlaw biker gang, and a major figure in the illegal drug trade and organized crime in New Zealand. He was convicted on a number of charges of manufacturing and dealing in methamphetamine. Also found guilty and sentenced were Deborah Anne Henry, 31, daughter of Mike Henry, who was in possession of drug-making equipment and drugs for distribution.

The trio were partners in the now-defunct Matopo Gallery, in which Mike Henry was the majority shareholder. Matopo was involved in the sale of African artworks, which were imported by another Mike Henry company, Henry Imports and Exports Limited. The Henry's and Cavanagh were in business together for some 8 years, until around the time of Cavanagh`s and the younger Henry`s arrests.

Cavanagh and Ms. Henry were involved in the manufacture and trafficking of the illegal `club drug` Methamphetamine, a precursor to Ecstasy. The bust was one of the largest seizures of the illegal drug in New Zealand history, and has made a major impact on supply.

During a dramatic six-week trial, the jury heard evidence of clandestine methamphetamine labs and safety deposit boxes stuffed with cash, bullion, expensive jewelry, watches and bonus bonds. As the financial condition of the Matopo Gallery business "went down the gurgler", in the words of Crown Prosecutor Ross Burns, "the finances of the accused persons increased dramatically as money poured in from the manufacture and sale of methamphetamine".

His daughter`s and Cavanagh`s increasing wealth, as well as Cavanagh`s gang connections, mysteriously appears to have gone completely unnoticed by senior Matopo partner and majority shareholder Mike Henry.

Examination of Matopo Gallery documents on file with the NZ Companies office reveal that, prior to 9-August 2005, there were only 10,000 shares outstanding. On that date, Mike Henry issued 482,583 new shares to himself, prior to winding down the company on Sept 25, apparently to pay off company debts and claim a significant tax write-off, while quietly sweeping under the rug the issue of his affiliation with drug traffickers.

Photo Credit: New Zealand Herald


This story was prepared in part with information from the following sources:

New Zealand Herald Articles Chronicling the Trial, Conviction, and Sentencing of Deborah Anne Henry and Co-Defendants (click on link to read the full story) :
Details of Henry-Cavanagh Drug Trafficking Trial, 1-Apr-2005
Court Finds Henry & Co-Defendants Guilty of Drug Crimes, 6-Apr-2005
Court Hands Henry 2-year Prison Sentence for Drug Crimes, 20-May-2005

New Zealand Biker
The Illicit Drug Business In New Zealand

New Zealand Companies Office: http://www.companies.govt.nz
Search on Director Search, Shareholder Search, keyword: Michael Paul Henry
Company Search, keywords: Matopo Gallery, Henry Imports & Exports Limited

New Zealand Commerce Commission: http://www.comcom.govt.nz
search on: Mike Henry Travel Insurance Limited

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