Delamere 'focused on cash'

Tuariki Delamere

Former immigration minister Tuariki Delamere was interested only in money transfers and not in running a real immigration consultancy service, a court has heard.

The depositions hearing at the Auckland District Court will decide if there is a case to answer for 10 fraud and forgery charges brought against the former New Zealand First MP by the Serious Fraud Office.

The SFO alleges Delamere falsely told the Immigration Service that seven clients had each invested $1 million of their own money in New Zealand - qualifying them for residency under the business migration category.

Instead, the SFO alleges his Chinese business partner contributed the $1 million, which was used seven times for seven different applications in a "money-go-round".

The court heard more yesterday from his Chinese business partner, whose name is suppressed.

The man, 36, had initially approached Delamere about setting up a branch office in Shenzhen in China when Delamere came up with the money transfer plan.

With some funds from Delamere, the office was set up, but lasted only two months.

Through an interpreter, the man said Delamere was interested only in doing the money transfers and not in running a real immigration service.

They had set up a holding company, New Zealand Golden Harvest, for the purpose of the transfers.

The man said he started thinking about withdrawing his money from Delamere's scheme after the Shenzhen office's closure in January 2002.

He withdrew his money from the holding company in March 18, 2002.

He made the decision because he felt the scheme was "inappropriate".

The court was also shown investment contracts jointly signed by Delamere's client, his firm and the man, who was the sole shareholder and director of NZ Golden Harvest.

The documents were to be used to support permanent residence applications.

Presented with these documents by the prosecution, the man said his signature had been forged.

He said he did not sign any of these agreements, nor had he authorised anyone to sign documents on his behalf.

His role was only to get Delamere telegraphic transfer slips and bank letters showing that deposits of $1 million had been made.

When he applied to obtain an indefinite returning resident's visa, the Immigration Service had asked for the company's bank statements.

He went to Delamere who told him the Immigration Service was not entitled to the bank statements.

The man submitted statements prepared by his own accountant instead.

Delamere told the man he should have waited until he completed the financial reports. "He said he had ways of making up for it."

On cross-examination by Delamere's defence lawyer, Paul Dacre, the man agreed that Delamere had at all times told him their plan was lawful.

He said he trusted Delamere.

Mr Dacre asked him why Delamere did not have cheque-signing rights over the holding company's bank account if there was trust.

The man replied that in business terms, he could not let Delamere have access to his money.

He agreed that he had complete control of the account as the company's sole director and shareholder.

Mr Dacre had also asked about the source of the man's investment, given that he was earning a salary equivalent to just under $1000 a month in 1995.

The man said he had been working since 1990 and a contract business he set up in 1996 had been profitable.

The hearing will continue tomorrow.

The charges

* Seven counts of intending to defraud by use of a document for pecuniary advantage.

* Three counts of forgery.