KEY POINTS:
A showdown is looming in the power struggle for control of the country's richest iwi.
The move follows a second rejection by Ngai Tahu chairman Mark Solomon of a payment of more than $300,000 to stand down from the top job.
The Herald understands the offer was made at a meeting between Mr Solomon and the tribe's group manager, Wally Stone, yesterday.
It followed an urgent board meeting held at the weekend to discuss Mr Solomon's future after a Herald report that he had rejected the offer.
It is understood the story outraged some board members, who were not made aware of his decision before reading it in the Herald.
The rejection also caused frustration because it followed overtures by Mr Solomon seeking a payout to quit as chairman and help end a bitter deadlock on the 18-member board.
The board has been paralysed by two factions for more than three years.
Nine of its members are bitterly opposed to Mr Solomon's leadership, and nine back him.
Mr Solomon was not invited to the Saturday meeting, where his stance was ruled to be a serious breach of his role, and therefore grounds for his dismissal.
A senior source on the board said yesterday's offer would come with a recommendation that if was not accepted Mr Solomon would be sacked.
But that threat is unlikely to be delivered. Powerful backers of Mr Solomon within the tribe are vowing to descend on this weekend's boardroom meeting to demand the resignation of all those on the board.
It is understood that senior tribal members want to end the deadlock by having all board members resign and fresh elections held.
Mr Solomon's supporters say he has the support of the people.
But other tribal leaders have joined forces to call for an end to the dispute.
Sir Tipene O'Regan, Ngai Tahu elder Rakiihia Tau and Ngai Tahu Group chairman Wally Stone yesterday called for an end to the battle for leadership within the tribe.
Said Mr Stone: "We are deeply concerned at the distress that has been caused to Ngai Tahu staff, beneficiaries and runanga over the undignified behaviour that has unfolded in the media over the past few weeks.
"We are united in our call to Te Runanga o Ngai Tahu to end the dispute."
The three said they rejected the assertions of various "minibus politicians" that Ngai Tahu tribal assets were in any way at risk because of the conflict.
"We are no longer haemorrhaging money as we were under the previous regime," said Sir Tipene.
"Under Wally's leadership, Ngai Tahu Holding's focus on lifting performance over the past eight months has already produced an outstanding turnaround.
"For the first time in many years, I'm absolutely confident that our tribal assets are being expertly managed and that we'll grow to be the economic force that was the dream during the settlement years.
"Maintaining this new culture and stability is critical if we are serious about the Ngai Tahu Group fulfilling its true potential.
"Te Runanga owe it to the people to act responsibly."
Mr Tau said events of the past two weeks had damaged the mana of Ngai Tahu to a disastrous degree.
"It's been an appalling display of petty personality politics and it is not acceptable," he said.
The three believe Mr Solomon's actions brought the reputation of the tribe into disrepute when he breached the confidential nature of his exit discussions and went public with his rejection.
Mr Stone said many untruths were floating around the tribe and he wants to set the record straight once and for all.
Mr Solomon had approached Mr Stone and initiated the discussions about an exit offer, he said.
Before those discussions had been completed, Mr Solomon publicly rejected them in the media.
He had also then publicly demanded in the media that all the representatives of Te Runanga o Ngai Tahu resign.
"All I can say is that the events of the last few weeks would be laughable were not the reputation of the tribe and its commercial operations not at risk," he said.