Monthly Archives: May 2012

The ‘happy’ little renaming of our leading social history museum

UPDATED 1 June 2012

Do we need a new name?

Debate is heating up (slowly) around an unscientific online poll hosted by Otago Daily Times, also appearing at the museum’s website (poll closed 1 June*), tied to a story about eight shortlisted options for re-naming Dunedin’s best-loved museum.

Participants (total votes: 2362 at 31 May, 11:02 pm) in the poll are showing a marked preference for retaining the existing name “Otago Settlers Museum”.

Why did the museum board decide a new name was needed in the first place? An ‘expert’ wrote a report that carried the recommendation.

What do you think? It’s your museum. With a little stirring, some of the worms are starting to come out of the woodwork.

And another thing, colleagues aren’t keen on the design of the new foyer now under construction. ‘Love steel, dislike the detailing and proportion’ is a common thread. Opinions? You’re paying for it.

www.otago.settlers.museum

*The museum board intends to consider the results of the poll and recommend a new name for the museum at its meeting on 7 June. My, that’s speedy scientific.

Related Post:
5.11.11 Otago Settlers Museum – Burnside Building (site visit)

Posted by Elizabeth Kerr

58 Comments

Filed under Architecture, Business, Construction, DCC, Economics, Geography, Heritage, Innovation, Inspiration, Media, Name, People, Politics, Project management, Property, Site, Urban design

Public Forum: Dunedin’s DRAFT Economic Development Strategy

By Dunedin For Dunedin And Beyond 2012-2022

With Paul Orders (DCC Chief Executive) and panelists Karen Bardwell (Managing Director, Select Recruitment), Prof George Benwell (Dean, School of Business, University), Gillian Bremner (CEO, Presbyterian Support Otago), Dr Oliver Hartwich (Executive Director, ‘New Zealand Initiative’), Tahu Potiki (Chairperson, Runanga Otakou, former CEO of Te Runanga o Ngai Tahu) and others.

Hosted by University of Otago Centre for Theology and Public Issues and Dunedin City Council.

Come and have your say.

Tuesday 5 June, 5.15pm
@ Dunningham Suite, Dunedin Public Library, Moray Place, Dunedin

Posted by Elizabeth Kerr

2 Comments

Filed under Business, DCC, Economics, Events, Name, People, Politics, Project management

Larry Mitchell: 2012 Local Govt League Table Summary

Press Release
Councils continue to struggle and spend … May 25th Release of the League Table

2012 Local Government League Table Executive Summary

• The 2012 LGLT covering all 67 New Zealand territorial local authorities ‘fits’ neatly within the Government’s recent announcements of local government reforms and validates (from its data) public concerns of some poor Council performance. No Council scores higher than 36 out of 50 for the financial and economic metricated measures of the LGLT;

• The bulk of Councils score only ‘Fair’ results (with scores of from 23 to 30 on the 50 point metric scale) and are ranked in a range from 31st to 57th out of 67 compared to their peers;

• Auckland Council has yet to provide meaningful public information on its financial performance improvement programmes. No useful Auckland Council comparisons with the pre-amalgamation financial and economic status of its seven predecessor Councils has been provided by which the Auckland Council’s comparative post-amalgamation performance could be gauged;

‘At risk’ Councils – the ten poorest performers – whose ‘stats’ indicate a combination of unsustainable Council finances and/or unaffordable rates or charges include the Kaipara District (whose present difficulties are well known). Kaipara is the biggest downgrade dropping 49 places to 65th out of 67 for its metric results – plus it receives a double red traffic light downgrade warning;

• Hauraki and Upper Hutt have regressed, the latter has dropped 15 places to 58th … in spite of recent announcements that the Mayor and Council have declined their increased salaries! Kaipara and Tararua have yet to file audited accounts;

• The ‘Southern Scots’, Clutha and Southland Districts have swapped the top two places at the head of this (parsimonious) League Table;

• The LGLT uses financial and economic assessment ratios closely allied to the measures that by law will soon be introduced for all Councils relating to their financial management performance and public reporting;

• The 2012 League Table indicates little overall performance improvement in 2011-2012;

• The metric measures have scarcely moved from an average of 30 out of 50 last year to 29 out of 50 in 2012. The consistency of these results over the three or more years of the assessments suggest a reliability and robustness of the methodology;

• Two Councils – Queenstown and Carterton are the biggest improvers both making the top 10 for the first time.

All enquiries to Larry.N.Mitchell, Finance & Policy Analyst (Local Government)
Phone 09 4220598, email larry at kauriglen dot co dot nz or see website www.kauriglen.co.nz/larry select BASE STATS WITH TRENDZ/LEAGUE TABLE.

Posted by Elizabeth Kerr

5 Comments

Filed under Business, DCC, Economics, Media, Name, People, Politics, Project management

Asset sales (remember the days)

One of our correspondents supplied copy today of an email by Tim Calder, sent to the Our Stadium mailing list (May 2007).

Note the mention of asset sales in the paragraph we have highlighted.

The correspondent says: “It is obvious that the original plan when they pushed the stadium was to partly fund it from asset sales. I also remember Malcolm Farry and Damien Newell (fawning over Farry) on the Ch9 debate back in 2007 talking about selling Citibus and City Forests. People shouldn’t be surprised about asset sales.”

Tim Calder is now based in London, working as an analyst for Aviate Global [financial services]. His personal profile notes past positions as chief executive at EZY STOR Self Storage, general manager at Willowbank Quarter, International Trade at Otago Chamber of Commerce. Educated at University of Otago. His blog has not been touched since 2009.

—– Original Message —–
From: Our Stadium
To: supporters@ourstadium.co.nz
Sent: Wednesday, May 16, 2007 3:58 PM
Subject: [Our Stadium] Our Stadium News Update 16 May 2007

NO STADIUM MEANS… NO MORE TEST MATCHES AND GOODBYE HIGHLANDERS FRANCHISE

Join the positive and proactive www.ourstadium.co.nz to keep international rugby in Otago and help create an on-going future for the city, the university and the next generation of young people.

National TV News and Radio have been carrying the headline over the last few days that Otago will lose the Highlanders Super 14 franchise within three years unless a new stadium is built. Already Dunedin has lost test matches. The threat to the Highlanders is real and if you care you need to act now.

So what’s the significance for people in the region? The answer is plenty. Rugby is a national and international event that gets screened into households throughout New Zealand and around the world. Without All Black tests and the Super 14 showcase Otago will fall of the radar. Without rugby there will be no stadium. Neither Carisbrook as it stands, nor the new covered Logan Park complex will exist.

Why is that important for people who don’t follow rugby? The answer lies in the region’s biggest employer – the University of Otago. Seventy percent of students come from outside the region. They bypass six other first class universities, dozens of polytechnics and pay many thousands of dollars more to come to Otago. Without rugby to keep Otago on the map for prospective students, and with other universities stepping up their marketing, this trend could easily be reversed.

What difference will a few students make? Plenty. The economic benefit generated from each student is more than $60,000 a year. Do the maths yourself. One hundred fewer students is $6 million less for the region. One thousand is $60 million. Once a trend starts it will be hard to stop.

But the ratepayers of Dunedin can’t afford to pay for the new stadium? There has been an enormous amount of hype around the cost to ratepayers. The Otago Daily Times figures are $1.13 a week for an average householder. Our Stadium acknowledges even this amount is significant for some homeowners and a member of the executive team is working on ways to lower this cost to individuals who need it. We also don’t know how Dunedin City will fund its share. DCC may in fact exchange an asset like their forest for the stadium, or reprioritise their asset programme, which may reduce the individual cost to ratepayers even further.

Why should rugby get such a huge handout when it’s professional? The beauty of the stadium is that it’s not exclusively for rugby. It is multi-use and with the completely covered pitch it will be the second largest indoor venue in the southern hemisphere, second only to Melbourne’s Telstra Dome. This means it becomes more internationally marketable than any other stadium in New Zealand. In addition, part of the complex will used by the University meaning it will be in use seven days a week, rather than just for an 80 minute rugby match. Being covered also makes it attractive for conferences and exhibitions.

Could everyone that receives this email please forward it to your entire address book. For those of you that indicated that you would volunteer your time could you please make an effort to sign up at least 10 new members. Nobody is too young or old to have a say so if your children, parents, friends or colleagues are supportive get them to sign up. Our membership database will be used to show the council the support there is for the proposed multi purpose Stadium. So keep those new members rolling in.

IF YOU CARE ABOUT THE FUTURE OF YOUR CITY AND YOUR REGION
JOIN UP ON LINE WWW.OURSTADIUM.CO.NZ

Tim Calder
Secretary
Our Stadium Visionaries Club Inc.

Posted by Elizabeth Kerr

27 Comments

Filed under Business, Construction, CST, DCC, Economics, Hot air, Name, People, Politics, Project management, Property, Site, Sport, Stadiums

Asset sales (would Dave’s council sell us up)

YOU BETCHA BUT NOT THE STADIUM, WHY NOT THE STADIUM, MALCOLM ALWAYS SAW IT AS A LEGACY, OH, NOT TO UPSET MALCOLM THEN, ANYWAY STUART SAYS THE WATER KEEPS FALLING OUT OF THE SKY

### 3news.co.nz Mon, 28 May 2012 7:00p.m.
Local councils under pressure to use asset sales
Assets sales are never far from the headlines, and always, it seems, controversial. The Government is pressing ahead with the partial sale of four state-owned energy companies and Air New Zealand. They made their plans clear during the elections and therefore claim a mandate to sell, but how far does that go? Because it’s no longer just state-owned assets being eyed for potential sale, local councils are under increasing pressure to consider asset sales to fund new projects and reduce debt. Auckland has already said no, and now Christchurch has suggested in a very polite fashion that central Government should sod off. The Christchurch Council and ratepayers face extraordinary costs following the earthquake, but the mayor is firm that there will be no sale of the family silver.
Read more + Video

Posted by Elizabeth Kerr

48 Comments

Filed under Business, DCC, DCHL, Economics, Media, Name, People, Politics, Project management, Property, Stadiums

Again: Oh, Mr Curragh… [emails]

From: bevkiwi@hotmail.com
To: jcurragh@xtra.co.nz
CC: hamish.mcneilly@odt.co.nz; murray.kirkness@odt.co.nz; craig.page@odt.co.nz
Subject: The ORFU scandal, missing trust monies and reported fraudulent activities
Date: Sun, 27 May 2012 21:39:11 +1200

Sunday 27th May 2012

Dear Jeremy

You have still not responded to my emails dated Sunday 20th May and Wednesday 23rd May 2012.
This is not a good look as I was expecting some reassurance from you, as the ORFU change manager, re perceived financial irregularities of ORFU.
To date, you have chosen not to name the trusts involved in the missing money, you have given no reassurance that the ORFU were not trading illegally while insolvent, you have offered no public apology to the amateur rugby clubs who have missed out on receiving the public money the ORFU applied for, you have offered no explanation how you see nothing illegal about spending public money on unauthorised purposes, you have offered no explanation why the ORFU did not pay their $25,352 DVML party/booze bill, pocketing $52,000 from the event then continuing to hock up other bills around town.

Now we have a report from the Department of Internal Affairs (DIA) website and ODT that “an elderly man who ripped off pokies community grants to the tune of $605,550 has been sentenced to community detention”. Judge Charles Blackie called the case a “very elaborate scam”. There appear to be a number of similarities in this case and the ORFU case.

I will outline the similarities as follows:

1. Counties Manukau Bowls (CMB)
The DIA found numerous fraudulent grant applications to gaming machine societies from Counties Manukau Bowls (CMB), an umbrella organisation for south Auckland bowling clubs. Noel Henry Gibbons implemented a scheme in which constituent clubs or CMB would invest indirectly in hotels where poker machines operated so that, in turn, those clubs could benefit from grants of pokies proceeds.
Otago Rugby Football Union (ORFU)
In the SST it was recently reported that the ORFU had invested in three South Auckland bars and were siphoning money over a few years to the tune of $5m.

2. Counties Manukau Bowls (CMB)
Gibbons also applied for grants from gaming machine societies for bowling machine maintenance, using the money to illegally repay loans for the purchase of hotels.
Otago Rugby Football Union (ORFU)
The ORFU have been spending monies from unnamed trusts for unauthorised purposes. This has occurred on many occasions and the money has gone ‘in the pot’.

3. Counties Manukau Bowls (CMB)
Judge Blackie said Gibbons knew he acted dishonestly each time he made a false application at the expense of the community.
Otago Rugby Football Union (ORFU)
I do not have any information re false applications except that the ORFU continued to make applications to unnamed trusts and used this public money for unauthorised purposes.
The black-tie dinner also has similarities in that the ORFU deliberately ran off without paying their $25,352 DVML bill whilst pocketing $52,000 into their own pot.

Jeremy, you have not offered any assurances as outlined above and in my previous emails nor have you indicated whether you have reported the ORFU irregularities to the appropriate authorities.

Yours sincerely
Bev Butler

Related Posts and Comments:
26.5.12 DIA media release
23.5.12 Latest: Oh, Mr Curragh… [emails]
20.5.12 Update: Oh, Mr Curragh… [emails]
18.5.12 Oh, Mr Curragh… [emails]
11.5.12 Dunedin shootout: mafia bosses
2.5.12 Ratepayers pay for ORFU black tie dinner at stadium
1.5.12 ORFU’s draft constitution
29.4.12 Department of Internal Affairs, the gambling authority
22.4.12 DIA, OAG, TTCF and Otago Rugby swim below the line
31.3.12 Rob Hamlin: The ORFU’s small creditors: If I was one of them…
23.3.12 ORFU position
15.3.12 Message To ORFU Creditors, if you want to see your money
9.3.12 DCC considers writing off ORFU’s $400,000 debt
2.3.12 Demand a full independent forensic audit of ORFU

Posted by Elizabeth Kerr

15 Comments

Filed under Business, DCC, DVML, Economics, Events, Media, Name, ORFU, People, Politics, Project management, Sport, Stadiums

SH88 realignment – information

Comment received from daseditor
Submitted on 2012/05/26 at 8:18 pm

[24.5.12] Edmund Anscombe and the Anzac Avenue Trees

With your discussion of the alignment I hope you’ll also take the time to read the article above on the Anzac Avenue trees. The alignment construction looks as though it has severely affected a critical area of the city’s landscape heritage which is linked to the work of prominent architect Edmund Anscombe.

Images supplied by Anonymous*

The image dates relate to Google Earth snapshots: 2005 January, 2006 March, 2009 July, 2011 January, and 2011 September. 2004 is available but heavy cloud cover obscures the view.

SH88 – Google Earth images including the quarry and Logan Park sports field.

SH88 – The same images cropped to SH88 entry and exit points.

SH88 – The Google Maps image which marks the road.

*Several contributors at this website use the title Anonymous.

Related Post with Links:
25.5.12 SH88 realignment costs (injunction)

Posted by Elizabeth Kerr

12 Comments

Filed under Construction, DCC, Design, Economics, Geography, Pics, Project management, Property, Site, Stadiums, Town planning, Urban design

DIA media release

What if? Website Reminder:
ORFU – Otago Rugby Football Union
TTCF (Inc) – The Trusts Charitable Foundation (being wound up; established as a Charitable Trust by deed in July 1989)
TTCF Ltd – The Trusts Community Foundation Ltd (set up and licensed on 11 June 2010)

Received yesterday.

[Begins]

Department of Internal Affairs
Media Release

25 May 2012

Sentenced for defrauding community of pokie grants

An Internal Affairs investigation uncovered a pokie machine rort that resulted in a significant loss of grant funding going to the community. The investigation revealed that numerous grant applications to gaming machine societies from Counties Manukau Bowls (CMB), an umbrella organisation for South Auckland bowling clubs, were fraudulent.

From late 2006 to September 2009 Counties Manukau Bowls employed Noel Henry Gibbons, 79, of Manurewa, to apply for gaming machine grants.

Mr Gibbons implemented a scheme whereby constituent clubs or CMB itself would invest indirectly in purchasing pubs where pokie machines operated – so that in turn those clubs could benefit from grants of pokie machine proceeds.

Mr Gibbons also applied for grants from gaming machine societies for “bowling green maintenance” – but some of the money was used illegally to repay loans for the purchase of pubs. This money should have been distributed to local community purposes as grants. Paying off loans is a commercial and illegal use of funding generated from pokie machines.

Mr Gibbons fabricated quotes and invoices from “green keeping contractors” to support grant applications and the provision of services. None of those named in the invoices as billing for a service knew anything of the work they were supposed to have done.

He was sentenced in the Manukau District Court today to six months’ community detention for obtaining $605,550 by deception and of using forged documents.

Judge Charles Blackie said Gibbons’ offending was a “very elaborate” scam and an “unlawful scheme”. The defendant knew he acted dishonestly each time he made a false application and this was at the expense of the community.

Judge Blackie emphasised the need to hold the defendant accountable and responsible, to deter others who might be inclined to “rip off” the system, and to provide for the community’s interests as the victims of this offending. He adopted a starting point of two years six months’ imprisonment but imposed a lenient sentence because of Gibbons’ guilty plea, advanced age and poor health.

Maarten Quivooy, Internal Affairs’ General Manager of Regulatory and Compliance Operations said organisations cannot expect that buying into pokie machine venues will ensure favourable treatment for grant applications.

“It’s illegal and the Department works to ensure that pokie money, which belongs to the community, is protected,” he said. “We want to ensure that community groups have fair access to gambling-generated funds and will take action over any attempts to capture funding flows that are detected.

“We are very pleased that our investigation has led to Mr Gibbons being held accountable for fraud, and for defrauding his community. A clear message to the gambling sector is this: where we come across deliberate and wilful attempts to take community funding we will take strong and decisive action to hold people accountable”.

Media contact:
Trevor Henry, senior communications adviser, Department of Internal Affairs
Ph 04 495 7211; cell 021 245 8642

[ends]

Read it at the Department of Internal Affairs website
Other DIA News, Press Releases & Consultation (Link)

Posted by Elizabeth Kerr

23 Comments

Filed under Business, Economics, Media, Name, ORFU, People, Politics, Project management, Sport, Stadiums

SH88 realignment costs (injunction)

Mr Hall says the intersection and site access to and from his industrial yard since the realignment – and as they are proposed to operate when the traffic lights are turned on – will be unsafe.

### ODT Online Fri, 25 May 2012
Big costs sought over highway realignment
By Debbie Porteous
A Dunedin businessman is seeking significant costs from the Dunedin City Council after a protracted legal dispute over a highway realignment near Forsyth Barr Stadium. Doug Hall’s lawyer, John Farrow, yesterday confirmed a submission on costs was filed this week on behalf of Mr Hall’s company, Anzide Properties Ltd, to the High Court at Dunedin. Mr Hall and Mr Farrow declined to say how much was being sought in costs, but it is understood to be several hundred thousand dollars.
Read more

Related Posts and Comments:
19.4.12 DCC comments ahead of court action, why?
23.8.11 Stadium project tangles
21.7.10 SH88 realignment – update
7.7.10 Goodbye to great store buildings in Parry St
29.5.10 Stadium site purchases
21.4.10 SH88 realignment – update
31.3.2010 SH88 realignment
24.2.10 SH88 realignment: Are ratepayers buying the land twice?
20.11.09 Interesting. SH88 realignment.
2.9.09 SH88 realignment past stadium
27.8.09 $294.8m investment for Otago region

Posted by Elizabeth Kerr

19 Comments

Filed under Stadiums

ORFU board announced

Does this cancel the defamation suit against the mayor of Dunedin, since everyone on the board is feeling competent now and the stars will shine as if from heaven?

### ODT Online Thu, 24 May 2012
New ORFU board unveiled
By Hayden Meikle
It has taken a lot longer than expected but a new-look Otago Rugby Football Union board has been unveiled. As revealed in the Otago Daily Times earlier this week, the board members are Doug Harvie, Keith Cooper, Simon Spark, Kelvin Collins, Andrew Rooney and John Faulks. Harvie will be chairman and Cooper will be deputy chairman. Rooney and Faulks survive from the previous board.

█ The recovery package involved the NZRU providing a long term loan for working capital of $500,000 and Dunedin City Council writing off debt of $480,000. In addition, costs have been cut and additional sponsorship arranged.

█ Almost $500,000 has been raised to allow the union to settle with creditors. A total of 156 non-profit organisations and other creditors who are all owed less than $5,000 will be paid in full. The remaining 24 creditors will be repaid the first $5,000 and half of what they are owed above that. The repayments are due to be made by the end of the month.
Read more

Posted by Elizabeth Kerr

24 Comments

Filed under Business, Economics, Media, Name, ORFU, People, Project management, Sport, Stadiums

New board for ORFU not formed, deadline shifts for bailout

### ODT Online Wed, 23 May 2012
Rugby: Wait for new ORFU board continues
By Steve Hepburn
The wait continues. The new board of the Otago Rugby Football Union was not named yesterday as expected as negotiations drag on over an agreement between parties involved in the bail-out of the union. The union came to an agreement with its major creditors in March to stave off liquidation and that agreement was to be finalised by the middle of this month. But contracts were still being worked on by parties and had not been signed off by yesterday.
Read more

QUESTION In light of revelations about the ORFU’s unauthorised use of funds received from charitable trusts to solve its liquidity problems, and if the ORFU has been trading while insolvent, is the Dunedin City Council reconsidering its position in regards to the ORFU bailout package? It should, the Council owes ORFU nothing.

Related Posts:
23.5.12 Latest: Oh, Mr Curragh… [emails]
22.5.12 Join ORFU board, without forensic audit to show how millions…
20.5.12 Update: Oh, Mr Curragh… [emails]
18.5.12 Oh, Mr Curragh… [emails]

Posted by Elizabeth Kerr

30 Comments

Filed under Business, DCC, DVML, Economics, Events, Media, Name, ORFU, People, Politics, Project management, Sport, Stadiums

NZRU-appointed change manager talks

Grants for sport are a legitimate authorised purpose under the Gambling Act, but grants could not be used to pay for professional sport.

### ODT Online Wed, 23 May 2012
Grants meant for amateur rugby used to pay ORFU creditors
By Hamish McNeilly
Grants earmarked for the amateur rugby game were used by the Otago Rugby Football Union to pay creditors, New Zealand Rugby Union appointed change manager Jeremy Curragh has confirmed. He said yesterday all pokie grants received within the last financial year had been accounted for, with $65,000 to be returned to trusts as the money was not spent on its authorised purpose. In one example, a $25,000 grant from a local trust was supposed to have been paid to the Dunedin City Council for ground rentals for club and school matches, but was instead used by the union to pay other creditors.

Staff had applied for grants while the union was fighting off liquidation, as there always was the “intention they can avoid liquidation”.

Read more

Posted by Elizabeth Kerr

5 Comments

Filed under Business, DCC, DVML, Economics, Events, Media, Name, ORFU, People, Politics, Project management, Sport, Stadiums

Latest: Oh, Mr Curragh… [emails]

From: bevkiwi@hotmail.com
To: jcurragh@xtra.co.nz
CC: hamish.mcneilly@odt.co.nz; murray.kirkness@odt.co.nz; craig.page@odt.co.nz
Subject: The ORFU scandal and missing trust monies
Date: Wed, 23 May 2012 09:14:36 +1200

Wednesday 23rd May 2012

Dear Jeremy

You have still not responded to my email below dated Sunday 20th May 2012.

The front page news in today’s ODT now brings up further concerns.
1. It is reported that the ORFU misappropriated not just $25,000 from one trust but has now owned up to $65,000 missing from a number of trusts.
What are the names of these trusts and why has this not been reported? The ORFU is not being upfront in naming these trusts.
Has the ORFU put any pressure on these trusts to remain silent? This is public money missing and is incumbent on the ORFU to come clean and name these trusts.
Until these trusts are named there is no way the ORFU can be made accountable for any present repayments to those trusts.
Is there other money missing from other trusts not yet owned up to by the ORFU?
2. It is now clear that the ORFU were trading while insolvent – that is why they used the trust money for unauthorised purposes.
It is reported that ORFU staff applied for grants while the union was fighting off liquidation as there always was the “intention they can avoid liquidation”. This contradicts your following statement “However, no grant would have been banked or received if liquidation was an issue…..”
3. I note in today’s ODT report that the ORFU offer no apology to the club rugby for missing out on these monies. I note the ORFU in their arrogance offer no apology to the public for the misappropriation of this public money. The ORFU offer no remorse just your comment of “it has not been ideal the way Otago has treated the grants”. That is an understatement.
You are then quoted as saying: “There is nothing illegal other than (money didn’t go) where it should have.” This appears to be minimising the problem. Now we have been caught out we will pay it back. Sorry, Jeremy, this is not good enough. Please explain how you see nothing illegal about spending public money on unauthorised purposes.
The trust money was for amateur sport and they did not receive that money. It is illegal under the Gambling Act for trust money to be spent on professional sport.
4. As a Dunedin ratepayer, I am appalled at the ORFU hocking up their DVML $25,352 party/booze bill, pocketing $52,000 from the event, and then refusing to pay the bill. They then continue to hock up further bills around town. The sheer arrogance of these actions is reprehensible.

I have received a few calls from rugby supporters concerned about the financial irregularities apparent in the ORFU. These strong rugby supporters, one of which has been involved with club rugby for many years, have expressed their abhorrence of the actions of the ORFU.
I do expect a reply to my previous email as well as this one as it is a public issue.

I have blind copied other interested media.
http://www.odt.co.nz/news/dunedin/210293/grants-meant-amateur-rugby-used-pay-orfu-creditors

Yours sincerely
Bev Butler

Related Posts:
20.5.12 Update: Oh, Mr Curragh… [emails]
18.5.12 Oh, Mr Curragh… [emails]

Posted by Elizabeth Kerr

2 Comments

Filed under Business, DCC, DVML, Economics, Events, Media, ORFU, People, Politics, Project management, Sport, Stadiums

Join ORFU board, without forensic audit to show how millions went west?

The Otago Daily Times believes the two members from the old board will be Andrew Rooney and John Faulks.

### ODT Online Tue, 22 May 2012
2 ORFU members retained?
By Steve Hepburn
The new board of the Otago Rugby Football Union is expected to be named today and is likely to include two faces from the old board. The six-member board was to have been named last Tuesday but legal issues and a short period to interview applicants and make appointments forced an extension.
Read more

[Eionland connections]

The six-member board?

● Andrew Rooney (Dunedin investment adviser, Forsyth Barr; Air Force Liaison Officer, Otago Region; former Engineering Officer, RNZAF; past chairman, Dunedin Rugby Football Club)

● John Faulks (Dunedin managing director S R M Realty Ltd – Southern Wide Real Estate; previously stock and station and banking industries; coached Otago junior age group teams)

● Simon Spark (Arrowtown self-employed contractor/linesman; co-owner of Dakins Waste Solutions Ltd; Arrowtown club president; news; Mr Nice Guy 2011)

● Keith Cooper (Dunedin chief executive, Silver Fern Farms)

● Doug Harvie (Dunedin chartered accountant, Harvie Green Wyatt)

● Kelvin Collins (Queenstown real estate agency owner, Harcourts; links with Wakatipu club)

Or simply ask ORFU change manager Jeremy Curragh about the trust monies that will need to be refunded as they weren’t spent on the authorised purpose; this “happened on a number of occasions due to ORFU facing cashflow problems”. He says “The money is not “missing” rather it was used to pay other creditors.” Link

Posted by Elizabeth Kerr

21 Comments

Filed under Business, Media, ORFU, People, Politics, Project management, Sport, Stadiums

NZX Market Supervision inquiry

“I needed a wee bit of extra cash at the time so I was happy to sell. It’s a free market – anyone can buy, anyone can sell. That’s what markets are for, aren’t they?” –Eion Edgar

### stuff.co.nz Last updated 08:58 21/05/2012
NZX probes nether regions
By Tim Hunter
OPINION Forsyth Barr chairman Sir Eion Edgar says an NZX inquiry into potential share trading anomalies at market minnow Blis Technologies is making “a mountain out of a molehill. […] It was just straightforward arbitrage.”

NZX says it has spotted potential anomalous trading in Blis shares and among the traders was a company associated with Edgar, the molehill starts to look quite a bit bigger. Without beating about the bush, the issue being discussed here is whether market manipulation took place.

The NZX said the following on Friday just over a week ago: “NZX Market Supervision (NZXMS) confirms that it has commenced an inquiry into trading in shares of BLIS Technologies Limited (BLT). NZXMS initiated the inquiry after its Market Surveillance staff detected potentially anomalous trades in BLT shares during the period when the price for the conversion of cumulative preference shares to ordinary shares was being determined. The conversion occurred on 8 May 2012. NZXMS believes it is in the interests of market clarity and confidence to confirm this action.”
Read more

Posted by Elizabeth Kerr

1 Comment

Filed under Business, Economics, Events, Media, Name, People

Update: Oh, Mr Curragh… [emails]

From: bevkiwi@hotmail.com
To: jcurragh@xtra.co.nz
CC: murray.kirkness@odt.co.nz; craig.page@odt.co.nz; chris.morris@odt.co.nz; hamish.mcneilly@odt.co.nz
Subject: FW: ORFU $25,000 received from a trust for DVML
Date: Sun, 20 May 2012 08:47:34 +1200

Sunday 20th May 2012

Dear Jeremy

Thank you for your response dated Saturday 19th May 2012.

1. On what date did ORFU put a halt on its trading?
2. The fact that the ORFU were paying other creditors with the $25,000 public money from a trust appears to indicate that the ORFU may have been trading while insolvent.
Given that the ORFU were redirecting monies from a trust for purposes other than intended then was the ORFU trading while insolvent?
It is also clear that the trust still has not been refunded yet – though the issue is also that the money should never have been used for anything other than what it was intended. This is misappropriation of public money and, as the ORFU change manager, surely it is your responsibility to report this to the appropriate authorities.
3. You still have given no explanation as to why the ORFU put $52,000 ‘in the their pot’ from their Black-tie dinner (5th August 2011) without paying their $25,352 bill to DVML. Again this is public money and needs to be accounted for.
4. It is appropriate that this is addressed in the media as it is clear that the ORFU have no intention of publically[sic] holding themselves to account.
5. You still have not answered whether you as change manager having access to the ORFU books would support a forensic audit. If you have no concerns whatsoever then I would expect that you would say so.
6. Jeremy, I do appreciate that this growing ORFU scandal is not of your doing.
However, as change manager, you do have a responsibility to report any financial irregularities that have come to your attention to the appropriate authorities . Not doing so leaves you open to allegations of complicity in this scandal.
You have now become aware of the $25,000 public money misappropriated from a trust, the $25,352 public money also misappropriated from DVML and the $5m of pokie money siphoned from South Auckland pokie machines by ORFU. Has the ORFU opened their books completely to allow you to see money in their other trusts?
If not, I would advise you to not allow yourself to become their fall guy.
As I said in an earlier email truth is the safest option.
7. Jeremy, you say in this latest email that this spending of monies from the trust ‘did not get spent on the authorised purpose’. You then go on to say: “This has happened on a number of occasions due to ORFU facing cashflow problems”. This term ‘cashflow problems’ seems to indicate that the ORFU have indeed been trading while insolvent. I suggest that it was not a ‘cashflow problem’ but rather an ‘insolvency problem’ which needs to be reported. This has happened on a number of occasions and obviously over a period of time before the ORFU announced their intention to seek voluntary liquidation. So, how long has the ORFU been not spending monies from trusts on the authorised purpose? If the ORFU are so broke they should not be applying for money from trusts knowing that they will not be spending the trust money on the authorised purpose.

Yours sincerely
Bev Butler

From: jcurragh@xtra.co.nz
To: bevkiwi@hotmail.com
CC: murray.kirkness@odt.co.nz; craig.page@odt.co.nz; chris.morris@odt.co.nz; hamish.mcneilly@odt.co.nz
Subject: RE: ORFU $25,000 received from a trust for DVML
Date: Sat, 19 May 2012 19:25:35 +1200

Dear Bev

The $25,000 was spent on other creditors as has been explained in earlier reports. These monies will need to be refunded to the trust as they did not get spent on the authorised purpose.
This has happened on a number of occasions due to ORFU facing cashflow problems. All monies not spent as authorised will be refunded to the respective trust.
The money is not “missing” rather it was used to pay other creditors.
As has been widely publicised the ORFU put a halt on it’s trading as soon as it became aware of the seriousness of the financial situation.
If anyone has evidence that warrants a forensic audit then this should be passed to the relevant authorities. This is the appropriate channel rather than through the public domain.
I have cc’ed everyone on this e mail

Jeremy Curragh

Related Posts:
18.5.12 Oh, Mr Curragh… [emails]
11.5.12 Dunedin shootout: mafia bosses
2.5.12 Ratepayers pay for ORFU black tie dinner at stadium
1.5.12 ORFU’s draft constitution
29.4.12 Department of Internal Affairs, the gambling authority
22.4.12 DIA, OAG, TTCF and Otago Rugby swim below the line
31.3.12 Rob Hamlin: The ORFU’s small creditors: If I was one of them…
23.3.12 ORFU position
15.3.12 Message To ORFU Creditors, if you want to see your money
9.3.12 DCC considers writing off ORFU’s $400,000 debt
2.3.12 Demand a full independent forensic audit of ORFU

Posted by Elizabeth Kerr

8 Comments

Filed under Business, DCC, DVML, Economics, Events, Media, ORFU, People, Politics, Project management, Sport, Stadiums

Total ratepayer impact: 6-month stadium operation estimated at $10.2m

Comment received.

JimmyJones
Submitted on 2012/05/19 at 9:59 am

…keeping the DVL 6-month loss out of the media was a PR success for the McKerracher Group. The size of the loss ($5.2 million) is very significant and so it is inconceivable that Dave Cull and Paul Orders were unaware of it. The idea of pretending that the stadium is completely represented by DVML is DCC policy. The plan was that DVML’s finances could be manipulated to break-even and all the losses would end up in DVL. DVL was to be swept under the carpet and not talked about.

This deception is the likely purpose of having both DVL and DVML. The real financial horror story is seen by simply adding the results of DVML and DVL and the DCC.

The size of the DCC costs is undisclosed, but my guess is maybe $3 million. So we have for the total ratepayer impact for the 6 months of operation $2.0m (DVML loss – not $1.9m) + $5.2m (DVL loss) + $3m (DCC costs) = $10.2 million.

It is a reasonable assumption that the full-year ratepayer impact will be double the 6-month result, i.e. $20 million (remember the $3m is a guess). I expect this to continue for the lifetime of the stadium. It is easy to hide this from the councillors, but the awareness and collaboration of Dave and Paul is shown by them promoting the “only $1.9m loss” spin.

Read the full comment here.

Posted by Elizabeth Kerr

39 Comments

Filed under Business, DCC, DCHL, DVL, DVML, Economics, Events, Media, People, Politics, Project management, Property, Site, Sport, Stadiums

Oh, Mr Curragh… [emails]

Correspondence received.

From: bevkiwi@hotmail.com
To: jcurragh@xtra.co.nz
CC: murray.kirkness@odt.co.nz; craig.page@odt.co.nz; chris.morris@odt.co.nz; hamish.mcneilly@odt.co.nz
Subject: RE: ORFU $25,000 received from a trust for DVML
Date: Fri, 18 May 2012 09:38:07 +1200

Friday 18th May 2012

Dear Jeremy

Thank you for your response to my second email, dated Wednesday 16th May 2012, where you confirm the ORFU failed to pay the $25,000 to the DCC.
You have, however, not explained where the $25,000 went to. You admit it did not go to the DCC for ground rentals, as was intended by the unnamed trust, but no explanation is offered as to what happened to this public money. Even if, as you say the DCC has “written it off” it still does not explain where that money went to.
As change manager it is your responsibility to find this missing $25,000.
I note that you have not answered my request as to whether you would support a forensic audit of the ORFU to find this missing $25,000 along with other unanswered financial irregularities.
Especially given that you don’t seem to have found the missing $25,000, which amounts to an admission that it is missing, can you give any re-assurance that the ORFU were not trading while insolvent?

I note that you also have not responded to the queries I had in my email dated Thursday 17th May (copied below for your convenience) namely:
As change manager you have had access to the ORFU’s books so I repeat my request: Do you support a forensic audit of the ORFU? If not, why not? And, have you found the missing $25,000?
Why did the ORFU put $52,000 ‘in the pot’ and not pay their $25,352 bill to DVML for the Black-tie dinner?

I have blind copied this email to other interested media.

Yours sincerely
Bev Butler

——————————–

From: jcurragh@xtra.co.nz
To: bevkiwi@hotmail.com
CC: murray.kirkness@odt.co.nz; craig.page@odt.co.nz; chris.morris@odt.co.nz; hamish.mcneilly@odt.co.nz
Subject: RE: ORFU $25,000 received from a trust for DVML
Date: Wed, 16 May 2012 12:25:10 +1200

Thanks for your letter and apologies for the delay.
There have been no grants made by ORFU to fund any DVML costs.

The ORFU have received grants to pay for DCC ground rentals which maybe what you are referring to. This relates to ground rents which are used for club and school rugby games as well as club and school rugby trainings. This is for approximately $25,000 pa.

As per earlier media reports I can confirm this amount was not paid to the DCC and is included in the $400k written off by DCC.

I hope this clarifies the situation

Jeremy Curragh

——————————–

From: bev butler [mailto:bevkiwi@hotmail.com]
Sent: Wednesday, 16 May 2012 11:15 a.m.
To: Jeremy Curragh
Cc: murray kirkness; craig page; chris morris; hamish.mcneilly@odt.co.nz
Subject: FW: ORFU $25,000 received from a trust for DVML

Wednesday 16 May 2012

Dear Jeremy

You have not responded to my email below.
Where is the $25,000 paid from a trust to the ORFU?
It never reached DVML as was the intention.
This is public money and needs to be accounted for.

Would you as change manager support the call for a forensic audit of the ORFU given that now you have had many months to establish the financial situation?

I have copied this to the ODT as they first reported about this missing $25,000 and I have blind copied other interested media.

Yours sincerely

Bev Butler

Thursday 17 May 2012

Dear Jeremy

You still have not responded to my emails below.
It is now reported in today’s ODT(see below) that the “TTCF’s relationship with ORFU is alleged to have been behind the more than $5m in grants given to the cash-strapped union”.
Also in the report it states that the Office of the Auditor-General was keeping in touch with Internal Affairs over this issue.
Added to this is the previous report in the ODT(see below) that $25,000 granted by an unnamed trust to ORFU never reached the DCC.
And finally, the Office of the Ombudsman is investigating DVML’s part in the ORFU’S Black-tie dinner.
As change manager you have had access to the ORFU’s books so I repeat my request: Do you support a forensic audit of the ORFU? If not, why not? And, have you found the missing $25,000?
Why did the ORFU put $52,000 ‘in the pot’ and not pay their $25,352 bill to DVML for the Black-tie dinner?
I have found that if one sticks to the facts and the truth then one has nothing to fear. You have been appointed as a change manager to set things right and yet you are not responding on this issue. Why?

I have blind copied this to interested media.

Yours sincerely
Bev Butler

{The full text of the news story (ODT 17.5.12) is attached to the email, along with another news item (ODT 9.3.12) – we provide the weblinks here. -Eds}

http://www.odt.co.nz/news/dunedin/209536/pokies-trust-under-scrutiny
http://www.odt.co.nz/sport/rugby/200707/orfu-queries-over-pokie-grants

——————————–

From: bevkiwi@hotmail.com
To: jcurragh@xtra.co.nz
Subject: ORFU $25,000 received from a trust for DVML
Date: Sun, 13 May 2012 13:26:52 +1200

Sunday 13th May 2012

Dear Jeremy

You may recall I met you in the public gallery at the DCC council bailout meeting back in March.
I asked you if you had been able to locate the $25,000 paid to the ORFU by a trust for the purposes of venue hire from DVML.
You said you hadn’t found it yet and were still looking into it.
My query is, have you now been able to locate it?
As a ratepayer it is actually money owing to me so I really do have a financial interest in your finding it.
Thank you.

Yours sincerely

Bev Butler

[ends]

Related Post and Comments:
2.5.12 Ratepayers pay for ORFU black tie dinner at stadium
29.4.12 Department of Internal Affairs, the gambling authority
22.4.12 DIA, OAG, TTCF and Otago Rugby swim below the line
17.4.12 ORFU still owes small creditors ($687,000), DCC ($480,000+), NZRU ($500,000) and BNZ ($1,200,000)

Posted by Elizabeth Kerr

4 Comments

Filed under Business, DCC, DVML, Economics, Events, Media, ORFU, People, Politics, Project management, Sport, Stadiums

DCC stadium debt: 23 years, not 40

### ch9.co.nz May 17, 2012 – 5:55pm
Council votes to pay Stadium debt faster
$104 million of Dunedin’s stadium debt is set to be paid off far more quickly, following a decision at the city council today. At annual plan deliberations, the council voted to pay the money over 23 years, instead of 40.
Video

Posted by Elizabeth Kerr

21 Comments

Filed under Business, DCC, Economics, Media, Politics, Project management, Property, Site, Sport, Stadiums

Dunedin Hotel

UPDATED POST 26.9.12
Who is behind the resource consent application? Find out here.
How do I make a submission on the application? Go to DCC webpage


Published on May 13, 2012 by DunedinNZofficial

Plans for a five star, 28-storey luxury hotel, proposed for Dunedin’s waterfront, have been revealed at Dunedin’s Forsyth Barr Stadium.

The hotel will position the city as a high-end tourism destination and provide a major boost to the region’s economic development.

The proposed hotel will be the tallest building in Dunedin by a significant margin providing uninterrupted views across the city either to Swampy Summit or the Otago peninsula. It will comprise both hotel and apartment accommodation, a swimming pool, a rooftop restaurant, car parks and a penthouse presidential suite.

The $100 million development is currently going through the resource consent process and is destined for completion by 2015.

Or so it says at YouTube.

UPDATE 28.5.12
The city council is pledging to put out the red carpet and not the red tape.

“Don’t let us become the New Zealand equivalent of Springfield from the Simpsons TV show” –Andrew Metcalfe

ODT Online news and opinion:
26.5.12 Tough time for builders in city
18.5.12 Links to city sealed hotel development
13.5.12 Hotel proposal
12.5.12 Hotel developers remain a mystery
11.5.12 $100m hotel for Dunedin waterfront
11.5.12 Harbour hotel proposed for Dunedin

Related Post and Comments:
8.9.12 Waterfront Hotel #Dunedin (Applicant names?)
7.9.12 Waterfront hotel: DCC to notify resource consent application
26.10.11 Dunedin Harbourside: DCC “caved”

Posted by Elizabeth Kerr

77 Comments

Filed under Architecture, Business, Construction, DCC, Design, Economics, Politics, Project management, Property, Site, Town planning, Urban design, What stadium

University meetings

Comment received.

ormk
Submitted on 2012/05/13 at 8:28 pm

BTW…for anyone University with influence who is listening…there have been several small meetings scheduled at the stadium. Can this please be stopped? A lot of people simply cannot attend them on a matter of principal. It is therefore divisive to schedule any University event at this venue. There are places in the University where events can be scheduled for everyone.

Posted by Elizabeth Kerr

Leave a comment

Filed under Business, Events, People, Politics, Project management, Property, Site, Stadiums

RESIGN: Placard Monday’s city council meeting

Call goes out – from the Citizens

Dunedin City Council meeting
Monday, 14 May 2012, 1.00 PM
Council Chamber, Municipal Chambers

[Agenda and Reports]

A lot of media will be at Monday’s 1pm Council meeting.

This is an opportunity to put pressure on pro-stadium councillors to RESIGN.

As many people as possible are invited to attend this meeting with signs demanding pro-stadium councillors RESIGN.

A simple sign with resign on would do: RESIGN

Leave a comment

Filed under Business, Construction, CST, DCC, DVL, DVML, Economics, Media, ORC, ORFU, People, Politics, Project management, Property, Site, Sport, Stadiums

Submission to DCC draft long term plan (2)

By Bev Butler

The Long Term Plan [2012/2022] as a document is only beneficial to the community when it fully incorporates the probable financial outcomes for the city. This Long Term Plan has not taken into account the financial future of the stadium. (The DVML six-monthly report has been delayed until after submissions close). The DVML report will reveal that the stadium is running at a multimillion dollar loss and it is now time to do a cost-benefit analysis of whether it is financially viable for the stadium to remain open or not. The results of a cost-benefit analysis of the stadium would then put the city in a clearer position to then make decisions for the future. The city in its present overwhelming debt situation can ill-afford to continue to sustain the stadium multimillion dollar losses. The Council has been capitalising interest for the last few years to the tune of over $40m. This situation if allowed to continue will eventually result in bankruptcy.

The main anchor tenant of the stadium (the ORFU) is technically insolvent and has already come to Council requesting a bailout. The Dunedin ratepayers cannot afford to keep on bailing out the ORFU. It will not be long before the ORFU again request another bailout. This has been the pattern over many years. I have no confidence that the ORFU bailout conditions will be met just as the stadium conditions were not met (see attached spreadsheet).

The council has to change its mindset that ‘what is good for Otago rugby is good for Dunedin/ Otago.’ Clearly, on a financial basis, this has not been true for many years. It is not the DCC’s role to continually ‘wet nurse’ the rugby interests in this town by caving in to their repeated, self=destructive mode of operating. Namely, their calling on public funds when they get into financial trouble.

It has become clearer as Official Information has been released that the process that led to the building of the stadium was corrupt. I request that the Council instigate a full independent inquiry into the whole stadium project so that those responsible for misleading the community are held to account. Until this happens the stadium will continue to divide the community.
Continue reading

2 Comments

Filed under Business, Construction, DCC, DVL, DVML, Economics, Events, ORFU, People, Politics, Project management, Property, Site, Sport, Stadiums

Dunedin City Council meeting

Monday, 14 May 2012, 1.00 PM
Council Chamber, Municipal Chambers

Agenda – Council – 14/05/2012 (PDF, 108.2 KB)

Report – Council – 14/05/2012 (PDF, 2.3 MB)
Review of the Stadium Operating Model. This report was released to the media on Wednesady 9 May 2012 and will be part of the agenda for the Council’s meeting on Monday 14 May 2012.

Report – Council – 14/05/2012 (PDF, 1.6 MB)
Dunedin Economic Development Strategy

Report – Council – 14/05/2012 (PDF, 135.2 KB)
Local Government New Zealand Conference and Annual General Meeting 2012

Report – Council – 14/05/2012 (PDF, 1.8 MB)
Elected Members Remuneration 2012/2013

Report – Council – 14/05/2012 (PDF, 11.2 MB)
Plan Change 7: Dunedin Harbourside – Operative

PwC Stadium Review Documents
This link will take you to a page containing the report from PwC reviewing the Forsyth Barr stadium costs including all attachments to the report.

Posted by Elizabeth Kerr

85 Comments

Filed under Business, Construction, CST, DCC, DVL, DVML, Economics, ORFU, Politics, Project management, Property, Site, Sport, Stadiums, Town planning, Urban design

Farry’s CST overspends budget by 46%

They spent $5.4 million on their own activities, as opposed to a budget of $3.7 million.

Comment received from Rob Hamlin
Submitted on 2012/05/12 at 3:47 pm

The critical part of the PWC report is given below. A deeply buried nugget on page 28 (of 43). As PWC note, the overruns excluding interest amounted to 206.4 – 198 = 8.4 million dollars – an overrun of around 4%. Which as PWC point out, is not that bad by the standards of such things.

However, 20% of this total is accounted for by budget overspend related to the Carisbrook Stadium Trust’s own internal activities. They spent $5.4 million on their own activities, as opposed to a budget of $3.7 million, an overspend of 46% of budget – as opposed to the rest of the project, which overspent by 3% once the CST’s contribution to the overall overspend is removed.

In addition, the reasons for the overspend in the other areas is covered in some detail in the other sections of the report and are fairly easy to understand (if not necessarily to agree with). The CST’s blowout contribution is different, with no real reason for this overspend appearing in the passage below. They were given a budget – they blew it – Why? PWC is silent – read on…

Posted by Elizabeth Kerr

3 Comments

Filed under Business, Construction, CST, DCC, DVML, Economics, ORC, People, Politics, Project management, Property, Site, Sport, Stadiums, STS