KEY POINTS:
John Banks says he understands why "Mum and Dad" investors would "flog off" their Auckland International Airport shares but he believes the Canadian Pension Plan deal offers nothing for the council.
The Auckland City Mayor told nzherald.co.nz although Auckland sold half its airport shares six years ago to service debt, it would be holding on to the other half because the airport was a strategic "gateway" to Auckland.
"From day one they [the CPP] has had push back. They don't offer anything. If the transaction was to proceed, Auckland City and Manukau City will have ceded much of their strategic position to the Canadians," Mr Banks said.
But he remains confident that the Government will stall any plans of a Canadian buy-in.
"The jungle drums have been beating long and loud," he said, referring to Finance Minister Michael Cullen's plans to tighten the rules surrounding overseas investment.
Mr Banks, an executive director of investment company Hujlich Wealth, said the government would not capitulate to "big business" and it will stand out in the "pitiful and shameful commercial history of this country".
He also criticised the airport board and said the situation had been badly handled.
"I respect them but most of them are out of their depth. The leadership has been weak and the asset has been substantially undervalued," Mr Banks said.
- NZHERALD STAFF
