Mark Bryers

Wellington, Oct 1 NZPA - Former Blue Chip boss Mark Bryers has been bankrupted after creditors rejected a proposal.

The National Business Review reported the now Sydney-based businessman did not appear in the High Court in Auckland today.

Bryers faced a bankruptcy proceeding brought by Cook Nelson St Leasehold, supported by other creditors who were in total owned $85 million, the newspaper reported.

Lawyer Aaron Nicholl filed a proposal to pay the creditors $1.2m over three years but it was rejected.

An estimated 2000 investors lost around $80 million after 22 Blue Chip-related companies failed in 2008.

Those affected by the Blue Chip liquidation include investors who paid $42 million of deposits between 2004 and 2006, whose apartments were never built, investors with money frozen and creditors.

Bryers faces a raft of charges relating to the business failure, while investors continue to fight to save homes they mortgaged to invest in Blue Chip.