Cullen hints at evidence in Tamihere's favour

1.00pm

Acting Prime Minister Michael Cullen has hinted there is documentary evidence that will support John Tamihere's case.

Mr Tamihere has stood down from Cabinet following questions over the payment of tax on $195,000 he received on his departure from the Waipareira Trust.

An inquiry into the affair will be headed by Wellington Queen's Counsel Douglas White.

Dr Cullen told reporters today the inquiry would look at the latest allegations and any information tabled in Parliament today.

He added: "Mr Tamihere is confident he has some answers and I have some documentation already which provides some interesting evidence in that regard.

"These are documents that Mr Tamihere has in preparation as part of the preparation of his presentation to Mr White."

The material involved "some very, very expert and senior people".

Whether he had answers to all the allegations would unfold during the inquiry.

He would not say whether those documents showed tax was paid on the trust payout to Mr Tamihere.

"Goodness me, you'll have to wait for the inquiry to unfold because the primary responsibility of the payment of tax is with the trust. The law on that is quite clear."

He would not discuss the allegations saying the inquiry needed to be completed first.

"We're not going to have the hanging before the investigation is completed. And hopefully there won't be one.

"My friend John, I hope will be cleared. But if he's not that's the way it comes out but we are going to have the inquiry done properly first," Dr Cullen said.

Dr Cullen said the Tamihere issue would be discussed at today's Labour caucus meeting.

He rejected suggestions by Act leader Rodney Hide that a full judicial inquiry was needed, saying that would cost millions of dollars.

Dover Samuels added that the Maori caucus would support Mr Tamihere "right up to the hilt".

"He's a friend and part of our team. We want him back in the Parliament, New Zealand want him back in the Parliament, Maoridom want him back in the Parliament and we're here to support him."

Mr Samuels said he would not speculate on the inquiry process. "That wouldn't be appropriate."

Maori Affairs Minister Parekura Horomia said the Maori caucus was "very, very supportive" of Mr Tamihere.

"We intend to support him but at the same time we recognise due process and we intend to see what comes out of that," Mr Horomia said.

- NZPA