The franchise sector is under the Government's microscope following the Green Acres scam.


Commerce Minister Lianne Dalziel has met with furious investors who were duped by a former Green Acres agent. They thought they were signing up for a home-based ironing company, but Keith Lapham took their money, and has since disappeared.


Ms Dalziel says she will meet with the Franchise Association today, to see if there are any legal loopholes that need to be sorted out. She is confident the Serious Fraud Office will track down the man responsible.


Ms Dalziel is also congratulating Green Acres for admitting its moral obligation in helping those who got ripped off in the scam. She says the company might find itself having to shoulder responsibility for the scam in the long run. She says it will be a legal question in criminal and civil investigations as to whether the company is liable for the actions of the agent.
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