Inquiries revealed that passionate Christchurch fisherman James Walter McIntyre left more than $500,000 to North Canterbury Fish & Game in his will.
The conditions of the bequest, seen by the Herald, stated: "I gift – my residuary estate to Fish & Game NZ North Canterbury. Without imposing any trust, I request that a member of the NZ Salmon Angler's Association be present when Fish & Game NZ make any decision on using the benefit received under this will and that the benefit received be used to restock the Waimakariri and Rakaia rivers with salmon."
But after taking "high-level legal advice" in August last year, North Canterbury Fish & Game Council chairman Trevor Isitt advised that they were "not bound by the estate wishes" and used $49,500 for improvements to the regional council's Johns Rd head office in Christchurch.
The following month, interest on the money totalling $16,875 in two payments, was made to the Water and Wildlife Habitat Trust - a separate entity with independent trustees but which receives funding from North Canterbury Fish & Game.
Councillors slammed the move, saying it was "morally cutting across Mr McIntyre's wishes".
At a public meeting on August 15, officials were challenged by a disgruntled volunteer who asked: "What have you done with the dead man's money?"
New Zealand Salmon Anglers Association spokesman Paul Hodgson was shocked to learn that some of McIntyre's money had been spent without his group's consultation.
The audit findings said they need to sort out the bequest by putting the money into a special reserve and note it in their management accounts.
North Canterbury Fish & Game's new chairman Alan Strong wants to resolve the issues highlighted by the audits and "move forward and do what we are here to do – provide the best possible service to our licence holders and protect the environment".
National chief executive Martin Taylor backs Strong and the new North Canterbury council, admitting that its performance in recent times has "fallen short".
"The former council could and should have done better and its failure to do so has been disappointing," Taylor said.
"The New Zealand council acted quickly when it learned of licence holder concerns about spending decisions and use of bequest funds by the previous North Canterbury council.
"These concerns were valid and the audits found that a small amount of one bequest was used to complete work on the new North Canterbury Fish and Game offices.
"Fish and Game's New Zealand Council is disappointed by the original decision to use bequest funds in this way and wholeheartedly supports the newly-elected council's plan to use reserves to restore the bequest to its original amount.
"A national policy on dealing with bequests is also being set to ensure this does not happen again."
The North Canterbury branch, which oversees a vast geographical area from south of the Rakaia River, north to the Hurunui River, and inland to the Southern Alps, including the Canterbury Plains, Christchurch, and Banks Peninsula, has overspent by $734,580 in the past decade.
It has gone over budget nine of the past 10 years, according to financial data obtained by the Herald.
Three separate investigations are under way into New Zealand Fish & Game regional councils.
Hawke's Bay Fish & Game and Central South Island (CSI) Fish & Game are also being audited.
Conservation Minister Eugenie Sage says she expects to be kept updated on the outcomes of the investigations.
"Good governance is crucial in ensuring public entities carry out their duties in the best interests of the people they represent," she said.
"It is important that licence holders and the public can be confident in the governance of Fish and Game at regional and national level."
