October 15, 2014
$1m drained from accounts
A Maori Land Court judge says there could be a case of fraud against trustees of a far north trust.
Judge David Ambler has removed four trustees from Parengarenga 3G Trust in August after finding a million dollars has been drained from the trust's accounts within a year of them taking over.
The trustees had been appointed by the court to take over management of the 500ha plantation forestry block from the Maori Trustee.
The payment came from harvest fees, and $600,000 ended up in payments to trustees with another $400,0000 unaccounted for and just $15 left in the account.
Judge Ambler ordered the bank accounts frozen of Stephen Henare, Margaret Dixon and Stephanie Henry, who he says received "substantial" payments between September 2012 and January 2013.
Another trustee, Darryn Henare, received far less significant payments.
The judge says the lack of any documentation to support those payments or any response from the trustees supports a good arguable case of equitable if not actual fraud.
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