Wine chief found guilty of kickbacks

Peter Scutts. File photo / NZME.

Former New Zealand Wine Company chief executive Peter Scutts has been found guilty of taking kickbacks.

In a case brought by the Serious Fraud Office, Scutts faced 16 Crimes Act charges of dishonestly using a document and one Secret Commission Act charge of receiving secret reward for procuring contracts. He was found guilty on all charges by Justice Mary Peters this afternoon. Scutts was released on bail, with sentencing expected in July. The judge ordered a pre-sentencing report be prepared, which would also look into the suitability of home detention.

In the High Court Auckland earlier this month Crown prosecutor Rachael Reed said Scutts played a "double game" in early 2011, working for the New Zealand Wine Company (NZWC), which he later became chief executive of, while also receiving kickbacks from Australian wine wholesaler Liquor Marketing Group (LMG).

Scutts received A$1 for each case of wine supplied, the kickbacks ultimately totalling A$53,000, Reed said.

NZWC did not know of the reward paid and it was in direct conflict with his role with them, she said.

SFO Director, Julie Read said the prosecution came after an eight week investigation.

"Corruption and bribery are a priority for the SFO. Even at modest levels, addressing corruption is an important aspect of protecting New Zealand's reputation as a safe place to invest and do business. It is also critical to preventing the escalation of this sort of conduct in New Zealand's economy," she said.