Dual Australia has “reluctantly” accepted the resignation of managing director Peter Bailey after working to solve an employee fraud investigation.

Bailey decided to step down once the court orders for fraudsters Alvaro and Josie Gonzalez had been obtained, their assets frozen and the stakeholders had been notified.

"Following the identification of the fraud committed in our Melbourne office, Peter Bailey has worked tirelessly with me on the investigation and to lock down the situation quickly and comprehensively to protect the interests of our stakeholders and the Group,” newly appointed CEO of Dual Asia Pacific, Damien Coates said. “We thank Peter for his efforts in this regard.”

He continued: “We regret his resignation which we reluctantly accept.  Peter's decision is based on his strong principals of integrity and professionalism.

“My personal thanks go to Peter for his service, and he leaves us with our best wishes for the future.”

The Gonzalez couple allegedly defrauded the company out of $17m, setting up a fake law firm to invoice the underwriter for fictional legal services.