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Home / Business

Fatal crash: Adventure company avoids punishment

APNZ
24 Sep, 2014 06:53 AM3 mins to read

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File photo / NZ Herald

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Nearly two years after an Australian tourist died in a quad bike accident, the negligent operator has walked away without a conviction or having to pay a cent.

Melbourne woman Chelsea Callaghan, 38, was on a quad bike tour at Riverland Adventures near Tuakau in October 2012 when she suffered a severe head injury.

She died in hospital 10 days later.

A police and WorkSafe NZ investigation uncovered a huge variety of safety shortcomings and Percy Kukutai -- the company's director and guide on the day of the incident -- was charged with manslaughter.

The company was also charged with breaching workplace health and safety laws after a catalogue of deficiencies were found with their quad bikes.

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Of the 18 that they owned, 17 were defective and the only one that was not was used by Mr Kukutai.

It was also revealed Ms Callaghan's brakes did not work properly, the tyre pressure made it difficult to drive straight, a shortened cable made the bike speed up when cornering and her helmet was inappropriate.

In November last year, the Crown dropped the criminal charge against Mr Kukutai after review and the court today heard how the company would also essentially get off scot-free.

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Riverland Adventures was fined $120,000 in Manukau District Court, though no one from the company showed up for the hearing.

In May, it was liquidated and its lawyer Paul White said all remaining assets had gone to pay creditors.

"What's the point in imposing a fine on this company? It'll be imposed on an empty shell that will eventually disappear," he said.

But Judge Charles Blackie was uncomfortable with simply letting the company off regardless of its financial position.

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"You're saying a life can be lost through the culpability of an enterprise and it's convicted and discharged?" he said.

"Leaving aside academics, how does it rest with the community? It flies in the face of all sentencing concepts in cases like this."

The judge accepted it was "an exercise in futility" but fined Riverland Adventures anyway.

The case is understood to be the first of its kind where a company in liquidation has been pursued through the criminal courts despite being unable to pay a fine.

Judge Blackie said it was an issue of public interest.

"It would be inappropriate for the community to be told that in a case like this a company, albeit in liquidation, can simply walk away with a conviction and discharge."

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A relative of Mr Kukutai said he refused to comment on the case and the judge said there had been no displays of remorse since the Ms Callaghan's death.

WorkSafe chief inspector Keith Stewart said Ms Callaghan's death was an avoidable tragedy.

"As a paying customer, Ms Callaghan had every right to expect that Riverland Adventures was doing everything it could to keep her safe -- but it wasn't.

"The catalogue of safety failings, from the provision of inadequate helmets to once-over-lightly training and a lack of maintenance, cannot be excused."

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