Company director claims he was ‘groomed’ by former police detective allegedly linked to cold-call scam syndicate

A former police detective and his son have appeared in court accused of a major fraud, that’s also led to a Married At First Sight star being charged.

The former director of an investment company linked to fraud and money laundering accusations alleged to involve a former police detective and his son has claimed he was “groomed” into his role by the ex cop.

Former Gold Coast top cop Michael Featherstone is one of multiple people who are alleged to have been involved in the sophisticated boiler room scam operating out of the Gold Coast.

The syndicate, which includes Mr Featherstone and his son, Zach, is alleged to have defrauded between $15 and $20 million from more than 600 people.

Police allege the Featherstones were part of the cold-calling syndicate where investors would pay money for betting and investment software.

Companies linked to the investments would disappear, resulting in investors losing their initial deposits.

Former Married At First Sight contestant Daniel Webb is on of multiple people charged.

Former Gold Coast detective Michael John Featherstone. Picture: NCA NewsWire / Dan Peled

Zach Michael Featherstone. Picture: NCA NewsWire / Dan Peled

At Brisbane Magistrates Court on Thursday, John Kane gave evidence he was offered a paid job by Mr Featherstone for a director position of a Gold Coast investment company.

The pair had previously met after Mr Featherstone helped Mr Kane with issues around his personal injury claim following a serious accident in 1998.

Mr Kane was awarded $440,000 but it was fraudulently taken by another man, the court was told.

“I thought he (Michael Featherstone) was a nice guy, I was very poor and down with that previous bad experience,” Mr Kane said.

Mr Kane said he felt like he was “used and groomed” by Mr Featherstone when he faced multiple civil suits from the victims.

He said he co-operated with police investigations into the alleged money laundering operation.

Mr Kane said he never faced prosecution, telling the court police said they knew he was not the mastermind.

During his job, Mr Kane gave evidence he often had to sign cheques and sort out issues around credit cards and PIN numbers with banks.

“My independent memory is so many staff were quite careless with numbers and banking management”, he said.

Mr Kane said he met with Zach Featherstone several times in 2013, who requested that he perform tasks like signing documents and fixing “token and credit card” issues.

“It was things like signing an ASIC document or take some documents to … insolvency people so they could … liquidate the company or phoenix it,” he said.

“Just being available and trustworthy to what was asked.”

The court was told one of the tasks involved signing “a book of blank cheques”.

He said Zach had printed a list of job requirements for him but couldn’t recall the specifics of the document.

The Featherstones leave the Magistrates Court in Brisbane. They are charged with money laundering and fraud. Picture: NCA NewsWire / Dan Peled

Mr Kane recalled Mr Featherstone got angry over his unavailability to sign documents while Mr Kane was holidaying in Thailand.

Another witness, Michael Cunich, told the court Mr Featherstone also offered him a position as director of another investment company.

He said Mr Featherstone would get the paperwork and bank accounts sorted and all he had to do was sign a document.

“It took about two minutes, the whole meeting … Mick (Featherstone) did all the talking,” Mr Cunich said.

Other witnesses said they had no business dealings with Mr Featherstone while some were only introduced to him through close friends.

The hearing continues.