A New Zealand insurance broker and property developer has pleaded guilty to 25 counts of fraud and perverting the course of justice dating back to 2002.

Auckland resident Marcus Friedlander admitted fabricating about $NZ20 million ($15.5 million) of extra debts in a bid to pay off his actual debts and avoid bankruptcy following the failure of his businesses.

The High Court was told Friedlander made up the additional debts and supporting documents to gain voting power among creditors, to ensure his proposal to pay NZ15 cents (11.6 cents) for every dollar owed would be approved.

Despite the frauds, creditors subsequently voted against the proposal and Friedlander was declared bankrupt in 2003 owing $NZ41 million ($32 million).

He pleaded guilty to two counts of attempting to pervert the course of justice, three counts of using a document for a pecuniary advantage and 20 counts of making forged documents.

He was remanded on bail for sentencing on October 3.