A Waikato council and iwi are being forced to payout a patched Head Hunters club member after their deal to sidestep his efforts to buy a Tokoroa property were knocked back by the court.
Ford Moeke launched legal action against the South Waikato District Council and Raukawa Iwi Development Ltd after the council swept in and acquired a Dumfries Rd property he was set to acquire from the iwi group.
Legally Raukawa were not able to back out of a sale to Moeke but after learning of Moeke’s club ties, on the day the settlement was supposed to go through, the South Waikato District Council stepped in and purchased the property for $230,000 “in the interest of public safety”.
But after a lengthy High Court battle at Rotorua, Associate Judge Hannah Sargisson has ruled in favour of Moeke on liability grounds.
“I consider the respondents do not have a reasonably arguable defence to Mr Moeke’s cause of action in tortious conspiracy. The claim is made out,” she said.
Moeke’s lawyer Ken Patterson said while the ruling was for liability only, a separate hearing had been ordered to ascertain the level of compensation Moeke will be entitled to.
Patterson said he hoped the matter could be settled before then.
“It’s conspiracy to defraud. I would urge the council to do the right thing here, you’ve done wrong, correct,” he said.
“The iwi and council should be making an offer of settlement,” he said.
Patterson said a settlement would also have a plus for council in that it could be kept confidential, unlike open court proceedings.
South Waikato District Council chief executive Ben Smit said the matter was currently sitting with the council’s lawyers.
He said despite the ruling, the council stood by its decision to purchase the property.
“The council made the decision at the time in the public interest and still considers it was the right decision at the time,” he said.
Despite that, Smit said the council would not be appealing the ruling.
“The next step is really around the assessment of costs,” he said.
Raukawa Iwi Development Ltd has been approached for comment but is yet to respond.
In April, Moeke lodged a caveat against the property which the council was successful in having lifted after a hearing in October.
In a separate development, the South Waikato District Council declined an Official Information Act request from Stuff to access an affidavit from Inspector Ewan Dunsmuir, used by council as part of the evidence they claimed backed their move to acquire the property.
Dunsmuir is the Bay of Plenty district intelligence manager and gang expert.
A council spokesperson cited the safety of Dunsmuir and his family, plus Moeke’s privacy, for the decision.
Source: Stuff