Dunedin shootout: mafia bosses

This city is a warm, tender-hearted place. It attracts honeymoon hotels.


Cull on tape yesterday
“The financial funding and operating model of the stadium was put in place to convince people to build it,” he said. “Clearly, it was optimistic.”

Farry on tape last night

Farry today at ODT
Mr Farry said the mayor “is quite entitled to his opinion and to be critical. What angers me is that he has stooped to innuendo and baseless allegations”.

Mr Farry said the CST’s integrity had been “impinged” by the mayor’s criticism. […] Asked if he was considering taking legal action against the mayor, Mr Farry said he was not. “But this should not be interpreted by Mr Cull as a free licence. There is a limit to anybody’s patience and tolerance.”



Today at ODT (Link)
Mr Cull yesterday issued a statement in response to the ODT article which detailed the statement of claim of Otago Rugby Football Union board members Wayne Graham and Laurie Mains, who are each seeking more than $500,000 in damages from the mayor over allegations of defamation.

Yesterday at ODT

Posted by Elizabeth Kerr


Filed under Architecture, Business, Construction, CST, DCC, DCHL, DVL, DVML, Economics, Events, Hot air, Media, ORFU, People, Pics, Politics, Project management, Property, Site, Sport, Stadiums, Town planning, Urban design

10 responses to “Dunedin shootout: mafia bosses

  1. Hype O'Thermia

    “There is a limit to anybody’s patience and tolerance,” says Mr Farry. I could have told him that. Just wait till some of the slower on the uptake, more physically vigorous, ratepayers catch up with how they’ve been done over!

    • Elizabeth

      The council now needs to find $8 million to cover the debt, which will ultimately hit already-burdened ratepayers.

      “I am relieved it’s only 4 percent,” says Dunedin Mayor Dave Cull.

      “The exoneration today was that we met our obligations with our guarantees on budget, other parties came along and spent more money,” says Carisbrook Stadium Trust spokesman Malcolm Farry.

      Article http://www.3news.co.nz/Forsyth-Barr-Stadiums-8-million-budget-blowout/tabid/423/articleID/253956/Default.aspx

      Video http://www.3news.co.nz/Forsyth-Barr-Stadiums-8-million-budget-blowout/tabid/309/articleID/253956/Default.aspx


      ### radionz.co.nz Friday 11 May 2012
      Checkpoint with Mary Wilson
      18:18 The bad news continues for Dunedin’s Forsyth Barr Stadium
      Just two days after it was revealed Dunedin’s Forsyth Barr Stadium lost nearly two million dollars in its first six months, an eight-million-dollar cost overrun in building it has come to light. (2′59″)
      Audio | Download: Ogg Vorbis MP3 | Embed


      Farry, PDT and the exclusions…

      ### ch9.co.nz May 11, 2012 – 6:47pm
      Final cost of Forsyth Barr Stadium in
      That is the answer to a question Dunedin has been debating for most of the last decade, and consultants have just spent the last month investigating. The final cost of Forsyth Barr Stadium is in, and it’s $8m over budget. That is despite the guaranteed maximum price being on budget.


      ### stuff.co.nz Last updated 13:06 11/05/2012
      Dunedin stadium blow out
      By Wilma McCorkindale – Southland Times
      More reality for Dunedin ratepayers who will have to stump up to cover an $8.4m budget blowout on their new stadium. Price Waterhouse Coopers has released a summary of its recent investigation into completion costs of the city’s Forsyth Barr Stadium. At a media briefing this morning it said those building the arena blew the budget by $8m. There were millions in unapproved fit-out spending, construction admin overspends of $2m, and a failure to pin down full University of Otago contributions. Stadium owner, the Dunedin City Council, is refusing to name who is responsible for the unapproved spending until it has reviewed the information.
      Read more



  2. Anonymous

    Once again the government should be looking at this defamation business a little more closely. Those self-entitled ORFU boys figure they’ve found a way to screw the city some more by going after the mayoralty libel fund. Now we have a stakeholder hinting at the same. And when a stakeholder cottons onto a good thing in this city, they all start burying their snouts in the public trough and gorge like Peter Chin is in charge again. Got to get some more fat stored up for those long winter months of hibernation at Queenstown and Wanaka.

  3. Anonymous


  4. Phil

    The media are going to do my head in here. Of course, the Guaranteed Maximum Price is going to be on budget. That’s why it’s called a Guaranteed Maximum Price for goodness sake. Exactly how hard is that to grasp and exactly how is that news ? It’s a fixed price for a fixed number of items of work. That fixed number of items or work were only a portion of the total number of items of work that were carried out during the process for constructing the stadium.

    You take your car for an oil change. The mechanic tells you that a new oil filter will cost no more than $20 and the job will probably take a couple of hours. You have a Guaranteed Maximum Price of $20 for the cost of buying an oil filter. You do NOT have a Guaranteed Maximum Price for an oil change. Did you pay your mechanic just $20 when you came to collect you car ? Of course not. You paid the entire cost for the work, INCLUDING the agreed Guaranteed Maximum Price for the supply of an oil filter.

    Is it so hard ?

    • Elizabeth

      At ODT Online (Link):

      A sort of answer for dave-up-the-hill
      Submitted by russandbev on Thu, 10/05/2012 – 8:33pm.
      One thing is for sure – you will not get an answer to your question of how much smaller your rates bill would be if the stadium hadn’t been built from the stadium councillors nor from the Council officers. But consider this. The direct and indirect costs of building it have been calculated at some $450m and annual operating losses from both the Council companies set up to own it and run it are looking like losing $15m a year. But we have borrowed all the money to meet these costs and to add to the interest payments we also have to meet depreciation. But the Council have also been capitalising the interest – simply adding the interest costs to the capital because they can’t afford to pay the interest.

      This is the reality. We are still being cushioned from the truth by the published figures – even the $1.9m 6 monthly loss by DVML doesn’t include the losses incurred by DVL.

      If DCHL had been properly governed for the last decade, if the stadium had not gone ahead, if the Tartan Mafia had not been creaming it round Dunedin, the rates here would have been round the lowest in the country per ratepayer. As it stands now, our consolidated debt means that every ratepayer owes over $16,000. And that is why the stadium councillors both in the DCC and the ORC should be appearing before you to apologise before resigning.

  5. Hype O'Thermia

    “Mr Farry said the CST’s integrity had been “impinged” by the
    mayor’s criticism.” I see why one is advised by school teachers not
    to use a difficult word when a simple one – in this case “described”
    would fit well in context – will do the job. Mr Farry may however
    have been grasping for “impugned”. I am not as easily surprised as I
    was when younger.

  6. Elizabeth

    ### ch9.co.nz May 14, 2012 – 5:51pm
    Dunedin businessman spearheading campaign to help the Mayor
    Dunedin Mayor Dave Cull has recently been served a writ of defamation by former members of the ORFU, following the council’s financial bail out of the organisation. A Dunedin businessman believes it’s deeply unfair considering the city has financially aided the organisation, so he’s spearheading a campaign to help the Mayor.

    ### 3news.co.nz Thu, 10 May 2012 12:28p.m.
    Dunedin mayor sued for defamation
    Dunedin’s mayor is being sued more than $1 million by board members of the Otago Rugby Football Union for alleged defamation. Court documents reveal union chairman Wayne Graham and former All Black coach Laurie Mains are each seeking $500,000 plus unspecified damages for loss of business.
    Read more

  7. Phil

    Well, you have to admire their cheek, if nothing else. I would have thought that the revelations about the previous board(s) and especially the revelation about the Mains Benefit Charity Dinner would have sent both of them scuttling for cover.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s