The New Zealand founder of a world-leading supplements company has resigned amid a podcast investigation into his criminal history and unpaid fines and reparations from his now-defunct companies.

Former Auckland police officer “Chris the Kiwi” Ashenden has won US business acclaim for turning his company AG1 into a $1.2 billion unicorn with a single green powder of the same name.

He is considered the global leader in social influencer marketing, building a huge follower base through paid endorsements from stars such as Joe Rogan, Gwyneth Paltrow and Sir Lewis Hamilton.

His failure to disclose his criminal history emerged as part of a wide-ranging podcast investigation into the supplement industry’s lack of science and regulation, and the outsized role of influencers like Rogan and scientist Dr. Andrew Huberman , who sources say receive millions of dollars to promote AG1.

Chris Ashenden’s resignation as chief executive came a day after Newsroom.co.nz questioned the company about its revenue challenges and allegedly misleading claims about the New Zealand-made product.

He also questioned him about the effectiveness and impact on AG1’s health, his academic qualifications and his criminal record.

Fines and reparations imposed on the globe-trotting leader’s businesses were reversed after those companies were liquidated, but for New Zealanders who lost their homes, that doesn’t mean non-payment of those companies is acceptable.

The company declined to answer questions about whether Ashenden’s departure was related to media attention, saying only that the transition had been happening for some time and noting that Ashenden remained a member of the board of directors of the company registered in the United States and the Cayman Islands.

More than 10 years ago, the Commerce Commission successfully brought two criminal charges against Ashenden’s companies, and ultimately against him personally, for transactions in which he purported to sell homes to people under programs of hire purchase – but did not transfer title to the property.

In 2011, Auckland District Court Judge Lindsay Moore ruled: “People were lured into covenants that were a recipe for disaster in which they lost everything they had invested in the property that they sought to gain – in fact, they received the understanding they had acquired. »

“I deeply apologize to everyone who was hurt by my decisions. I believe in owning up to my mistakes and hope that others can learn from my experiences as I have.

Chris Ashenden, founder of AG1

He added: “There are strong elements of cynicism and calculated exploitation of people in financial difficulty in this offence. »

This year, Ashenden declined to be interviewed about his story of business success and failure, and how he rebuilt himself personally and professionally in New Zealand and the United States.

But ultimately he was forced to face a criminal offense he had previously denied.

Approached by the editorial staff Powder keg podcast team on the street of the Mexican resort town of Playa del Carmen, outside the Grand Hyatt hotel where he was meeting with AG1’s management team, Ashenden expressed surprise. “What are you doing here?”

He tried to avoid questions about his criminal history, unpaid fines and restitution, and the effectiveness and health impact of his green powder supplement. “We said we didn’t want to talk to you, sir.”

After seven minutes of questioning in Mexico, the company offered to answer questions by email.

“Like most entrepreneurs, I’ve had a career of success and failure,” Ashenden admitted.

“I made mistakes and regrettable decisions early in my business ventures, and I faced the legal and financial consequences as a result. I sincerely apologize to anyone who was hurt by my decisions. I believe in owning up to my mistakes and hope that others can learn from my experiences as I have.

Earlier this year, in a public Substack article, in a meeting with more than 300 company employees, and in a letter from his lawyer, he admitted to business failures. But he denied being convicted of a crime or having a warrant out for his arrest.

In fact, the podcast’s investigations reveal that he was found guilty in the Auckland District Court of 43 criminal offenses under the Fair Trading Act, and as he initially failed to pay his fines and reparations, the court issued an arrest warrant.

“I said to myself, I’m going to get to the bottom of this and a bank has to have this information, this money is going somewhere.”

Dee Chisholm, whistleblower

In Playa del Carmen, he refused to answer these questions and, to this day, Ashenden only says: “I have failed to ensure that the specific dates and details I provided to my lawyer and to my team were completely accurate. I have since corrected what I initially shared.

He eventually personally paid the fines and reparations ordered against him in 2014, so that the arrest warrant was lifted and he could return to New Zealand without being arrested.

But he has still not paid the $182,000 in fines and reparations that the Auckland and Invercargill District Courts ordered against his individual companies.

People who wrongly thought they bought homes from his companies spoke out in interviews for the Powder keg podcast.

Dee Chisholm, a life coach who now lives in the isolated Southland community of Nightcaps, was the first to expose one of Ashenden’s property scams.

She had gone to the bank to ask to see a statement of her mortgage payments. “They came back to me at the bank and said, well, you don’t exist. You don’t have a mortgage here. And I said, yes, I do. No, they said, you don’t exist.

“I said to myself: I’m going to get to the bottom of this and a bank has to have this information, this money is going somewhere.”

The courts ordered Ashenden’s company, CMA Property Investments, to pay her $20,200 in reparations – but it never did. Ashenden dissolved the company.

“Just tell the truth and own up to it. Instead of hoping for everything to go away all the time and avoiding it. And, as each year passes, those people you took money from are probably still struggling.

Michelle Young, home buyer

One of the families forced to sell their Invercargill home was Michelle Young, her husband and three children.

When the couple first signed up to the low deposit housing scheme in 2003, it seemed like “a godsend” allowing them to get a foot on the property ladder.

“I had nothing,” Michelle said in a podcast interview. “I just had two bags of clothes and three kids, three teenagers. I just had to start again at the bottom of the barrel, you know?

“I was very naive, now looking back, I think, for God’s sake, girl. But you know, you believe people.

Thinking they owned the property, the couple repainted it inside and out, fenced it in, installed a new countertop in the kitchen and built a large deck outside. back.

But when the relationship came under strain and they decided to sell, they discovered they never had title to the property. They hired a lawyer and were eventually able to get some of their money back – but not even a fraction of what they had invested in it.

“I felt embarrassed,” Young said. “I thought, Jesus Christ, I’ve really been sucked into this.”

None of these people received the thousands of dollars in reparations that the courts ordered Ashenden’s companies – Meguro Ltd, Home Finance Company Ltd and CMA Property Investments Ltd – to pay them.

“Just tell the truth and own up to it,” Young pleaded. “Instead of hoping for everything to go away all the time and avoiding it.” And as each year passes, those people you took money from are probably still struggling.

“We can forgive, but we never forget.”

Anita Mika, Auckland

South Auckland bus driver Anita Mika posted a $2000 bond for a three-bedroom weatherboard house in Ōtara and agreed to pay $370 a week for 30 years to settle the purchase price of $180,000. That’s an effective interest rate of 10.3 percent – far more than she would have paid in rent or a bank mortgage.

Many families were evicted or had to leave the homes they thought were home. Mika, like other victims, had accumulated enough equity that she was eventually able to refinance and purchase her home, for additional fees.

But as the court will later note, Mika had to “discharge the abnormally onerous aspects of his transaction”. This included a $10,000 early exit fee from the Ashenden housing project.

Ashenden finally paid the $5,000 he was personally ordered to pay to Mika, in 2014. He never paid her the $5,000 in reparations ordered against his sole proprietorship Meguro Ltd.

Mika’s sister, Asenati Aki, also signed on to the project – but she died in 2011 before Ashenden paid for reparations. “We can forgive, but we never forget,” Mika said.

In interviews for the podcast, Chisholm, Young, Mika and other victims called on Ashenden to pay the $182,000 in unpaid fines and restitution — and asked him to explain his actions to them.

Despite renewed scrutiny of AG1’s claims by regulators, Ashenden insisted the venture was different from his previous failed business ventures in New Zealand and Australia.

“Over the past 14 years, I have been proud to work with seasoned leaders who bring diverse skills and depth of experience to our team,” he said.

“They helped transform it from a start-up into a global company that has served millions of customers around the world. This is why AG1 is even better today than when we started.

Until this year, the AG1 was widely marketed as being made in New Zealand. In fact, it’s not sold here – but earlier this year the company registered an AG1 subsidiary with Picton-based Ashenden’s father Phillip as director.

Kat Cole, the company’s former president and chief operating officer, was promoted to chief executive officer in July. She said Bloomberg that AG1 was expected to generate revenue well over US$600 million and be profitable this financial year.

Powder Keg is reported, filmed and written by Jonathan Milne, with Mike Wesley-Smith. Audio edited by Dave Filoiali’i and Megan Cumberbatch; the video was edited by Trenton Doyle. Mark Jennings is executive producer.

This project received funding from Brian Gaynor Business Journalism Initiative. Newsroom is indebted for this support of investigative journalism.