An Auckland childcare centre faces a raft of charges alleging misrepresentation of the government subsidy it was receiving to parents.
Kowhai Montessori Pre-School Limited, which operated in Orakei until it was sold last year, and its former director and manager Rebecca Brindle, face 14 charges under the Fair Trading Act relating to five invoices and two letters sent to parents between October 2013 and October 2014.
Kowhai and Brindle entered not guilty pleas this morning and are to next appear in the Auckland District Court on 27 September.
The Commerce Commission alleges that in October 2013 Kowhai told parents that the Government subsidy as part of its 20 hours free ECE scheme for children aged to three of five was only $4.70 toward the centre's set hourly rate of $11.70, which meant parents had to top it up by an additional $7.
This amount was repeated in a letter in May 2014 when the Montessori's rate was increased to $13.70 and parents were told their contribution was increasing to $9 an hour.