Huljich Wealth Management, the New Zealand-based fund management firm, is under investigation by the Government Actuary's office and the Securities Commission for a possible compliance breach, Dow Jones reports.

A spokesperson for the Securities Commission had reportedly confirmed that an inquiry is ongoing, but declined to provide details.

News of the probe erupted just shortly after managing director and chief investment officer Peter Huljich stepped down on 4 March due to criticism over the recent admission that he made top-ups from his personal funds to make the performance of the company's KiwiSaver retirement saving scheme appear healthy.

Mr Huljich has been replaced by Don Brash, the company's chairman and a former governor of the Reserve Bank. Mr Brash said that his predecessor had accepted responsibility for the lapses and had, thus, resigned.

"It has become clear that the board has not been kept fully informed in a timely manner about certain transactions, and as a consequence Huljich Wealth Management has not lived up to the highest standards of transparency," said Mr Brash in an official statement issued on the same day.

"I have agreed to become the managing director and chief investment officer with immediate effect, and we will actively seek an experienced director to take my position as chairman," he added.

Peter Huljich's board seat will be taken over by Chris Huljich.

The Kiwisaver retirement savings scheme has a subscription base of over 70,000 people .