DCC: Snow White cause of substantial loss + DRAFT Annual Plan

Vestiges of Purity for ALL [ethical cleansing HITS town]

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‘Some of the unfavourable variance because of divestment losses’

### ODT Online Wed, 30 Mar 2016
City pays cost for divesting
By Timothy Brown
Some of the Dunedin City Council’s divestment decisions have cost the city, it was revealed at yesterday’s council finance committee meeting. […] The council voted last May to scrap any investments the [Waipouri] fund had in the munitions, tobacco, fossil fuel extraction, gambling or pornography industries and to bar future investment in those industries. […] The fund had produced $783,000 in profit during the eight months to February 29. However, this was $1.657million down on the budgeted $2.44million profit.
Read more

█ Agenda – FIN – 29/03/2016 (PDF, 1.8 MB)
This agenda includes the reports

TABLE OF CONTENTS

1 Public Forum [page 4]
2 Apologies [4]
3 Confirmation of Agenda [4]
4 Declaration of Interest [5]

PART A REPORTS (Committee has power to decide these matters)

5 Financial Result – Period Ended 29 February 2016 [6]
This report provides a commentary of the financial performance of Council for the period ended 29 February 2016 and the financial position as at that date. The net deficit (including Waipori) for the eight months to February was $5.878 million or $381k worse than budget.

6 Financial Result – Period Ended 31 January 2016 [31]
This report provides the financial results for the period ended 31 January 2016 and the financial position as at that date. The net deficit (including Waipori) for the seven months to January was $6.668 million or $36k worse than budget.

Related Posts and Comments:
26.3.16 Dunedin: Erosion issues at St Clair and Ocean Beach
25.1.16 DCC: South Dunedin Integrated Catchment Management Plan (ICMP)
5.1.16 Hammered from all sides #fixit [dunedinflood Jun2015]
27.12.15 Pop Mashup(s) + Independent UK…on attack to local democracy
21.11.15 Mayor Cull won’t admit lack of maintenance #SouthDunedinFlood
14.7.15 DCC strategies needed like a hole in the head
27.4.15 She’s right: “We are a very poor city.” —Cr Hilary Calvert
6.4.15 Energy, a little picture #wow
25.5.14 Whaleoil: Rodney Hide on Dunedin’s Luddite Council
21.1.14 Jints, this one’s forya
13.1.14 Taking to water like a duck on oil

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Dunedin City Council – Media Release
Annual Plan consultation begins

This item was published on 24 Mar 2016

Should we be spending more on economic development in Dunedin and/or boosting funding for community grants? These are some of the questions the Dunedin City Council is asking residents as part of its 2016/17 Annual Plan and budget consultation, which opens today.

Mayor of Dunedin Dave Cull says recent changes to the law mean the Council is taking a different approach to how it seeks feedback from residents on what should be included in the 2016/17 Annual Plan: “Just last year we went through a rigorous process developing a 10 year Long Term Plan (LTP), which sets out the city’s financial and strategic path. This year we are asking the community to comment largely on things we are proposing to add or change.” Some of the proposed changes are things that have already been discussed with the community and agreed on, but were either not funded in the LTP or not funded beyond the current 2015/16 year. Examples include the funding proposed for GigCity, UNESCO City of Literature and Dunedin’s Arts and Culture and Environment Strategies.

Mr Cull says the planned increase in economic development resourcing is effectively a return of funding taken out several years ago because of budget constraints: “The proposed $790,000 increase in funding is largely community driven. One of the consistent messages emerging from residents is that job creation and business encouragement are vital for Dunedin. Our business sector is also telling us we need to market the city better to visitors and businesses.”

Funding has also been provided for investigations into South Dunedin groundwater/ sea level rise issues [WHAT ISSUES – WHERE IS THE SCIENCE ?], and to investigate coastal erosion in other areas. Other proposed funding includes an extra $120,000 for community grants because there are always more requests than money available.

These suggested changes can be achieved within the proposed 2.9% rates rise.

█ The consultation document is now available at www.dunedin.govt.nz/2016AP. Public consultation on the Annual Plan closes at 5pm on 20 April. People are encouraged to provide their feedback early and, if possible, use the online form.

A snapshot of what is proposed, presented in a map fold newsletter, will be delivered to every Dunedin household. Information will also be available at DCC service centres and libraries and at the Customer Services Agency in the Civic Centre. There will also be a public meeting and workshop, and six drop-in sessions with the opportunity for face-to-face discussion with Councillors. These will be held around the wider city during the consultation period.

█ Comments on the DCC Facebook page and tweets to @DnCityCouncil using #DunedinAP will also be considered as feedback. The consultation period will be followed by hearings and deliberations in May and a final Annual Plan will be adopted by the Council in June.

█ A range of supporting documents and an online submission form are available at www.dunedin.govt.nz/2016AP.

Contact The Mayor of Dunedin on 03 477 4000.
DCC Link

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Related Posts and Comments:
23.2.16 Hold on! DCC Annual Plan 2016/17 #CommunityEngagement
30.1.16 DCC Rates: LOCAL CONTEXT not Stats —Delta and Hippopotamuses
26.11.15 DCC report: Mosgiel Pool Future Aquatic Provision
12.9.15 Cr Kate ‘Cycleways’ Wilson —(disingenuous) fails constituents
22.8.15 DCC cycleway$ now tied to more ‘urban de$ign’ $pend, after reha$h…
14.7.15 DCC strategies needed like a hole in the head
22.7.15 DCC Long Term Plan 2015/16 – 2024/25
24.6.15 DCC Residents’ Opinion Survey (ROS)
29.5.15 Design alternatives to (pre-selected) bridge not canvassed by DCC
5.5.15 DCC financial position | DCC reply: “$20M cash on hand” #LGOIMA
4.5.15 DCC: Draft LTP matter —‘Unfunded Mosgiel Aquatic Facilities’
28.9.14 “DCC entitlement” about to ramrod change at CBD #manipulation
5.8.14 DCC staff-led CBD projects that impact… | consolidated council debt
27.6.14 Stadium costs $23.4144 million per annum
25.1.12 Waipori Fund – inane thinkings from a councillor
17.11.13 Cull, MacTavish: (to borrow a phrase) “Have you fixed the debt crisis?”

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Posted by Elizabeth Kerr

*Image: sisterlondon.com – SW + dwarves, tweaked by whatifdunedin
(many thanks to Disney)

She’s right: “We are a very poor city.” —Cr Hilary Calvert

### ODT Online Mon, 27 Apr 2015
Ethical policy decision tomorrow
By Vaughan Elder
The Dunedin City Council is set to make a final decision tomorrow on whether to dump investments in fossil fuel extraction. The vote comes after councillors were hailed as visionary when they voted in favour of an ethical investment policy, which also includes divesting from investments in tobacco, arms, gambling and pornography, for the $82.5 million Waipori Fund. […] Cr Hilary Calvert, who voted against divestment last year, said she could understand why others supported the policy, but divestment was a luxury the council could not afford.
Read more

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█ Report – Council – 28/04/2015 (PDF, 1.0 MB)
Updated Statement of Investment Policy and Objectives for Socially Responsible Investing

█ Report – Council – 28/04/2015 (PDF, 428.2 KB)
Waipori Fund – Report for Quarter Ending March 2015

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Posted by Elizabeth Kerr

Operation Chestnut: DIA, SFO fluffing round the edges #TTCF #ORFU

“Operation Chestnut has been a significant investigation in the Class 4 sector and we’ve welcomed the opportunity to work in partnership with the SFO and OFCANZ.” –Maarten Quivooy, DIA

### NZ Herald Online 12:00 PM Monday Feb 2, 2015
Four in court charged with $30m pokie fraud
By Hamish Fletcher – Business reporter
A former chairman of Harness Racing New Zealand and three other people have been charged over an alleged $30 million pokie fraud. It is the biggest criminal case ever of its kind involving pokies outside of a casino. Four defendants have appeared in the Wellington District Court today over the alleged manipulation of grants which come from pokie machines, a Department of Internal Affairs spokeswoman said this morning. The defendants, charged by the Serious Fraud Office with obtaining by deception, are former HRNZ chairman Patrick O’Brien, his son Michael O’Brien, Paul Anthony Max and another person with interim name suppression. The alleged offending was uncovered during an investigation called Operation Chestnut which involved the DIA, SFO and the Organised and Financial Crime Agency of New Zealand.
Read more

*The name of the fourth defendant is known to What if? -Eds.

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Related Posts and Comments:
22.1.15 ORFU chairman quits —no thanks to DCC for all its help *sniff
31.12.13 Martin Legge: Operation Chestnut [DIA’s PR exercise]

█ For more, enter the terms *operation chestnut*, *pokies*, *legge*, *whistleblower*, *rorts*, *dia*, *sfo*, *ttcf*, *gambling*, *orfu*, *rugby*, *jokers* and *racing* in the search box at right.

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Posted by Elizabeth Kerr

Auckland Council: Hark to DCC’s well-tried model of corporate welfare

Sky City International Convention Centre and hotel.

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Somebody ruthlessly slips the word “National” into the name for Auckland’s proposed convention centre.

### stuff.co.nz Last updated 17:32, December 22 2014
Auckland Councillors blast Sky City ‘corporate welfare’
By Niko Kloeten
Auckland ratepayers should not have to pay for a blow-out in the cost of the Sky City National (sic) Convention Centre, councillors say.
Economic Development Minister Steven Joyce raised the prospect of the Auckland Council chipping in to help fund the project, after new estimates revealed the cost could blow out by as much as $128 million. The increase in cost could leave taxpayers on the hook for any shortfall, but Joyce said the council could provide some assistance. “If you look at the Wellington Council, they’ve just done a deal to do a convention centre there, a much smaller one, but they’ve under-written some operating costs and that might help was well,” he told Radio New Zealand.
Howick councillor Dick Quax said the money would be better spent on the city’s much-needed transport projects, several of which have been delayed due to funding pressures. “It could be the beginning of an endless group of corporates coming to the council with their hands out. I don’t support corporate welfare at all.”
Read more

█ Dunedin City Council bought professional rugby and simultaneously lost 152 cars. But wait, there’s more.

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Posted by Elizabeth Kerr

Sport Otago’s Brimble and ORFU’s Kinley never give up —ugly paperwork exists boys !!

● The Trusts Charitable Foundation (TTCF Inc) ● The Trusts Community Foundation Ltd (TTCF Ltd) ● Otago Rugby Football Union (ORFU) ● Professional Rugby ● Centre of Excellence for Amateur Sport ● Harness Racing ● Department of Internal Affairs (DIA) ● Gambling Commission ● Pokies ● Rorts ● Organised Crime ● Serious Fraud ● Political Interference

### ODT Online Thu, 27 Nov 2014
Sport
Gambling: Gaming funds sport: Is the trade-off worth it?
By Adrian Seconi
Are sporting bodies turning a blind eye to problem gambling because of the estimated $120 million-$130 million gaming trusts provide each year? Reporter Adrian Seconi asks prominent administrators John Brimble and Richard Kinley their thoughts. It is an ethical minefield, but without the funding the gambling industry provides, many sporting organisations would collapse and sport would be out of reach for some families. Both Sport Otago chief executive John Brimble and Otago Rugby Football Union general manager Richard Kinley want to be very clear about that point.
Read more

█ TOMORROW: The TAB has its say.

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“It’s going to be fun. The NZ Racing Board is a $2 billion business that plays a vital role in the New Zealand economy by supporting the racing and sports industries. It is also the owner and operator of the TAB which is an exciting commercial enterprise and iconic New Zealand brand.”–John Allen.

### NZ Herald Online 3:57 PM Wednesday Nov 26, 2014
Mfat chief executive John Allen moves to NZ Racing Board
–Herald Online / BusinessDesk
Foreign Affairs and Trade chief executive John Allen is resigning to take up the role of head of the NZ Racing Board. Mr Allen began as the Mfat head in in July 2009 and headed a controversial restructuring of the government department which was opposed by many staff and saw 49 ambassadors and heads of foreign missions co-sign a letter criticising the plan. […] Mr Allen’s departure was flagged by political newsletter Trans-Tasman, which said he planned to announce next Monday that he is leaving for a top post in the private sector.
This afternoon, the NZ Racing Board confirmed it had appointed Mr Allen as its new CEO.
Read more

For more, enter the terms *gambling*, *pokies*, *dia*, *rugby*, *racing* *rorts* *whistleblower*, *fraud*, *white collar crime* in the search box at right.

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Posted by Elizabeth Kerr

DCC tightens policy + Auditor-general’s facetious comments

The city council’s Whistleblower policy, originally written by Athol Stephens (!!), has recently been updated.

The proposed change came as independent financial consultant Deloitte continued its investigation into an alleged $1 million fraud within the Dunedin City Council’s Citifleet department. (ODT)

### ODT Online Wed, 6 Aug 2014
Council aims to tighten policies
By Chris Morris
The Dunedin City Council is moving to make it easier for whistle-blowers to speak out, but still has “a fair bit of work to do” to tighten other internal policies, senior managers say. The proposed change came as the council’s audit and risk subcommittee, meeting yesterday for just the second time, considered a schedule of 12 internal council policies it was now responsible for overseeing. The policies, ranging from risk management to staff travel and fraud prevention, were designed to promote good governance while protecting the organisation and its staff.
Read more

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Universally detested (except by a charming coterie of Wellington’s public servants, all living high off the pig’s back), Lyn Provost represents a fat salary-dollar value only. Fully complicit or was that comfortably incompetent, in not getting MULTIMILLION-DOLLAR RORTS and FRAUD stopped across the local authorities of New Zealand. She and her well-paid ‘academic’ staff ask: “Whatever is Crime?” —OHH! “New Zealand’s public sector boasted $240 billion worth of assets and managing them required continuous attention, she said.” (via ODT) …..What attention, steamed up spectacles??!!

Bugger off, Lyn [Photo: liberation.typepad.com]

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### ODT Online Wed, 6 Aug 2014
Praise for DCC’s new internal controls
By Chris Morris
The Dunedin City Council’s move to tighten internal controls has been praised by the Office of the Auditor-general, even as the investigation into an alleged $1 million Citifleet fraud continues. The words of encouragement came from Auditor-general Lyn Provost as she addressed a meeting of the council’s new audit and risk subcommittee during a visit to Dunedin yesterday. But, despite the headlines and unanswered questions about why the alleged fraud was not detected, including by auditors, the word “Citifleet” was not uttered yesterday.
Read more

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Posted by Elizabeth Kerr

Whaleoil: Rodney Hide on Dunedin’s Luddite Council

Ever since Helen Clark allowed councils general competence we have seen debt burgeon and empire building of armies of council staff increase. It is time to rein in the excesses. The reforms have largely failed. I’m not even sure we need local councils in any case….except to just provide essential services. –Cameron Slater

### whaleoil.co.nz May 24, 2014 at 5:00pm
Rodney Hide on Dunedin’s Luddite Council
By Cameron Slater
Rodney Hide excoriates the Dunedin City Council for their embracing of a buggy culture. [NBR paysite]

“I was taken aback by Dunedin City Council committing to invest ethically. I would have thought it was already beyond reproach. But it turns out it’s not about the council not taking back-handers and the like but rather what it can and can’t invest in. Henceforth, it won’t invest in porn, munitions, tobacco or gambling. Seriously? Was investing in porn ever in prospect? I once took a paper to the cabinet to circumscribe council activity. I wanted to limit them to core services. To buttress my argument, I had examples of the nutty investments that councils had entangled ratepayers in. I remember dairy farms, property development, Lotto shops and cinemas. My concern wasn’t ethical investing but rather local government’s proper role. I wanted councils to stick to basics. I didn’t succeed but would have had a chance with the Dunedin example: a council having to make a rule to stop itself investing in pornographic movies.”
Read more

█ It matters enormously that city leaders are declaring fossil fuel extraction unethical. –Rodney Hide

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Posted by Elizabeth Kerr

Ngai Tahu featured in Wall Street Journal (12.3.14)

### ODT Online Mon, 17 Mar 2014
Ngai Tahu’s financial acumen praised
By Hamish McNeilly
The economic foresight of Ngai Tahu has won the praise of the influential Wall St Journal. The article, published last week, noted the iwi had gone from being ”impoverished, virtually landless” to one of New Zealand’s wealthiest tribes with group assets totalling $1.03 billion. Following the $170 million treaty settlement the iwi took part in a series of ”astute investments”, enabling it to restore marae and support health and education programmes for its 50,000 members.
Read more

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Source:
New Zealand Tribe’s Bet Transforms Its Fortunes: The Ngāi Tahu See Their Investments Pay Off
Original article published by The Wall Street Journal; March 12, 2014
online.wsj.com – this is a paysite. You can read the whole article by Lucy Cramer of WSJ for free at USNZcouncil.org

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“If you look at 15 years since settlement, this entity has done really well,” said Trevor Burt, a former executive board member of German chemicals giant Linde Group who the tribe tapped four years ago to run its investment arm. Over the past four years, the fund’s average total annual return, based on comprehensive income, was 14 per cent, beating the average 12.9 per cent annual return by the benchmark share index. –Lucy Craymer, WSJ
New Zealand tribe’s bet transforms its fortunes – posted by david at the United States New Zealand Council blogsite
March 12, 2014 Link

While you squabble, Ngai Tahu is worth more than a billion dollars, is making hundreds of millions of dollars in well placed investments, and is even outperforming well known philanthropic funds like the ones owned by Yale and Harvard. –Cameron Slater, Whale Oil Beef Hooked
Wall Street Journal praises tribe: Are you watching up north?
March 13, 2014 at 5:30pm Link

Twitter accounts:
Ngai Tahu @NgaiTahu
Wall Street Journal @WSJ

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Posted by Elizabeth Kerr

Martin Legge: Operation Chestnut [DIA’s PR exercise]

Received from Martin Legge.
Tuesday, 31 December 2013 10:54 p.m.

The relaunch of “Operation Chestnut” is nothing more than an expensive distraction for the masses – making them believe that the DIA and its Minister, Chris Tremain, are doing a great job. No small coincidence the operation was announced (Jan 2013) contemporaneous with the Government announcement that they did not intend changing the current pokie model despite the systemic corruption and the ongoing rorts. If you don’t agree with me then consider this:

1. “Operation Chestnut” was started way back in 2008 and the investigator submitted his report to Senior Management in 2008-09. The same management includes Debbie Despard, who now fronts the relaunch of Operation Chestnut but note she failed to tell media that the operation started in 2008 and she has been sitting on the report for five years watching as tens of millions flowed to people to whom it should not have.

2. DIA’s primary statutory function requires they properly regulate all the entities which they are solely responsible for licencing and that includes the pokie trusts, their managment and also the owners/operators of pokie bars. Current gambling law puts a clear statutory obligation on the DIA that they must be satisfied with these entities before they can lawfully issue a gambling licence. The legal obligation was put in place to ensure they did their job and prevented harm, and ensured the grant distribution process was fair to all grant applicants. That obligation does not require the resources of the Serious Fraud Office or the standard of proof required in a criminal case, just a balance of probabilities. Under these circumstances the public could now rightly demand why all of the issues and recommendations identified in Bermingham’s report of 2009 were not immediately addressed first and foremost with the pokie trusts named and why now after five years the taxpayer is funding a relaunch or rehash of an operation which until now was ignored by DIA.

3. In 2010, during the four to five years of DIA inaction, DIA seek and receive documents and testimony from me and others that not only linked ORFU and Harness Racing (Mike O’Brien) to three South Auckland bars but of far greater significance was the fact that the evidence implicated the involvement of one of NZ’s biggest trusts, TTCF Inc, now TTCF Ltd, and how its trustees were complicit to such arrangements and were knowingly approving millions of dollars of grants to both ORFU and Racing between 2005 and 2011.

The DIA, OAG, and now the SFO have all given me different stories about why TTCF has been excluded from Operation Chestnut but it is blatantly obvious to me and others that to include O’Brien’s relationship with ORFU and those three Jokers bars would mean including TTCF. It would open up a can of worms with the Government because, as we know, TTCF trustees are very very well connected and they have politicians who will pick up the phone.

Quite frankly, as an ex Police Prosecutor and Detective Sergeant, I am appalled at this situation. Operation Chestnut has become nothing more than an exercise in regaining the public confidence in DIA, its Minister and the gambling sector by taking scalps that fall outside their primary responsibility. Evidence implicating the pokie trusts and their trustees is being ignored or suppressed to take the scalp of someone who essentially sits outside the industry. Mike O’Brien would not have been able to get one cent, let alone the $30 million that DIA/SFO allege has been gained, if it weren’t for the primary offenders, the persons with the ultimate public responsibility, that approved that money back to those interests. Their part in the offending is far more serious than anyone outside the industry.

Pokie trust boards are stacked with high profile well connected personalities all of whom receive a payment of around $50-100k per annum for the privilege. The NZCT board includes ex Wellington Mayor, Kerry Prendergast, who is also an advisor to the Auditor General. TTCF’s Chairman is Ross Clow who is now with Auckland City Council, and then there is Warren Flaunty, NZ’s most elected man. They are the ones who approved these grants and yet they are barely mentioned, quoted or identified by media, let alone interviewed by DIA or SFO.

Last but not least, another conscientious DIA investigator recently contacted me to advise that they saw the full NZRU report into the demise of the ORFU that was supplied to the DIA. They have confirmed that it contains considerable detail of ORFU’s ownership of the Jokers bars and their relationship with Mike O’Brien and TTCF. The report was provided to DIA simply because NZRU wanted to judge the risk of DIA legal action before pumping funds into ORFU. Little wonder DIA continue to withhold that report.

[ends]

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Related Post and Comments:
30.12.13 DIA insights: Pokie rorts, money-go-rounds, names

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Posted by Elizabeth Kerr

DIA insights: Pokie rorts, money-go-rounds, names

This time last week you might have read front-page news at ODT, a story by Hamish McNeilly, Freeze on grants urged (23.12.13) — “Leaked documents confirm the earlier involvement of southern racing clubs in what has become a major multi-agency investigation involving alleged pokie money-go-rounds.” Cont./

Yesterday (and previous days) interesting activity has displayed in our Site Stats —referrers include racechat.co.nz and racecafe.co.nz

View two comments posted in response, here and here.

Go to this thread at RaceCafe—
Some light reading – started by Sheriff, 27 Dec 2013.
Mentions of Operation Chestnut, and more – Sheriff has posted two file attachments. [based on this ODT could’ve had a ‘field day’, it decided not to]

The second attachment of 22 pages compiled by gambling inspector DM Bermingham (Christchurch) is available for download here.

█ Report into Racing Club Activities 222 (DOC, 159.5KB)

The following draft provides a useful checklist [via screenshot]:

To open the file attachments at RaceCafe you’ll need to register as a member.

For more on Pokie Rorts at this website, enter terms such as *pokies*, *pokierorts*, *whistleblower*, *dia*, *sfo*, *racing*, *martin legge*, *orfu*, *ttcf* in the search box at right.

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Posted by Elizabeth Kerr

*Image: ODT 23.12.13 – front page detail tweaked by whatifdunedin

The Gambling (Gambling Harm Reduction) Amendment Bill

Comment received.

Anonymous
Submitted on 2012/06/03 at 10:48 pm

Yes and in the face of all these rorts the big trusts, Lion Foundation and Pub Charity are rallying support – encouraging their favoured grant applicants to make submissions to Govt on the new pokie bill which if passed intends doing away with all pokie trusts (and their rorts) within 12 months.

When Francis Weavers, the ex CEO of the Community Gaming Association (CGA), an organisation set up by and for the benefit of Pokie Trusts, submits an official report to the Govt claiming endemic non compliance and corruption within the industry you have got to wonder just how bad it has all become and wonder why this Govt has not shown more leadership with DIA and the industry.

Seriously, this has now grown into a serious law and order issue involving “white collar” criminals – something this Govt said it was tough on.

[ends]

See comment below to read Weavers’ report.

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The Gambling (Gambling Harm Reduction) Amendment Bill is a private member’s bill that was proposed by Maori Party MP for Waiariki, Te Ururoa Flavell.

It was drawn from the ballot in September 2010 and concluded its first parliamentary reading on Wednesday 9 May 2012. Parliament voted to send the bill to the Commerce Select Committee for consideration. The committee has six months to consider submissions before it must report back to parliament. The matter is scheduled to be heard in the House on 9 November 2012.

The purpose of the bill is:
a) To prevent and minimise the harm caused by gambling, including problem gambling.
b) To ensure that money from gambling benefits the community.
c) To facilitate community involvement in decisions about the provision of gambling.

Submissions close on Thursday, 21 June 2012
Have your say in creating better gambling laws by making a written submission to the Select Committee.

Submissions can be mailed to:

Secretariat
Commerce Committee
Select Committee Office
Parliament Buildings
WELLINGTON 6011

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http://www.parliament.nz/en-NZ/PB/Debates/Debates/Daily/5/e/e/50HansD_20120509-Volume-679-Week-10-Wednesday-9-May-2012.htm

http://www.parliament.nz/en-NZ/PB/Debates/Debates/3/9/d/50HansD_20120509_00000024-Gambling-Gambling-Harm-Reduction-Amendment.htm

### 3news.co.nz Thu, 10 May 2012 5:30a.m.
Pokie reduction bill passes first reading
A bill giving local authorities the power to cut back on pokie machines in pubs and clubs, or get rid of them altogether, has passed its first reading in Parliament with strong support.
Read more

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Posted by Elizabeth Kerr

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)

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Posted by Elizabeth Kerr