Henderson labelled 'cocaine user' by judge

David Henderson

Wealthy property developer David Henderson was yesterday labelled a cocaine user by a judge who convicted him for attempting to buy the class-A drug.

The 51-year-old was refused a discharge without conviction and given a nine-month suspended sentence, described by Judge Simon Lockhart, QC, as a "good behaviour bond".

Henderson, who has an estimated personal fortune of $30 million, was ordered to pay court costs of $130.

He will also stand by a promise to donate $10,000 to a drug rehabilitation centre.

Henderson was in Australia yesterday and excused from appearing in the Auckland District Court for sentencing.

His lawyer, Paul Dale, last week sought a discharge without conviction because of the impact a drug conviction would have on Henderson's Kitchener Group, a property development company.

Delivering his decision yesterday, Judge Lockhart said a conviction might impact on Henderson's standing in the community but it was open to conjecture whether it would seriously affect the company's financial position.

The judge said the evidence of Kitchener Group chief executive Chris Aiken had not established that a conviction would seriously affect the company.

"Such a conviction may have a detrimental effect but should not be of a major concern, having regard to [Henderson's] apparent high standing and regard in the business and building development community."

Judge Lockhart said there was no evidence Henderson had a drug addiction but the facts did lead "to the inescapable conclusion that [Henderson] ... had previously been a consumer of that drug".

Henderson had sufficient personal knowledge of the drug supplier to contact him twice by cellphone and ask about the availability of cocaine.

Mr Dale said his client had not been charged with using cocaine.

"I don't think the remark carries any weight at all," he said outside the court.

In his phone conversations with the drug supplier, Henderson referred to cocaine as "vintage bottles of wine" and asked for "10" to be set aside for him.

Henderson did not dispute that "10" referred to 10g of cocaine, which police valued at $2500 to $4000.

He was told the cocaine would be 3 1/2 weeks away and joked to the supplier that they "should go to Colombia themselves to get it".

He was caught in a police surveillance operation of an alleged drug ring busted last month and charged with attempting to procure cocaine.

He faced a maximum sentence of three months in prison and a $500 fine.

Judge Lockhart said the maximum fine would have a minimum effect and prison would be inappropriate for the first-time offender.

There was no evidence that Henderson was part of a so-called celebrity drug ring.

Seven people are facing charges in connection to the bust.

Former league star Brent Todd has been named in charges against one of the accused as a joint offender in supplying cocaine and cannabis.

He has not been charged with any offence and denies ever buying, selling or supplying drugs.

A second celebrity has also been named as a person who bought Ecstasy but has not been charged.

Henderson told the police he used cocaine to suppress his appetite, but Mr Dale yesterday said the comment was a joke.

Henderson might consider an appeal but it would "drag the thing out" and mean further publicity, said Mr Dale.

The case had highlighted the need for consistency by the court when deciding whether to discharge a person without conviction.

"There needs to be perhaps more precise guidelines."

Mr Dale pointed to the case of American billionaire Peter Lewis, who was discharged without conviction after he admitted importing 100g of cannabis into New Zealand in 2000.

Lewis was granted name suppression but the suppression order was later overturned after an appeal by the Herald.

The High Court at Auckland found that the judge in the Lewis case gave no reasons for granting a discharge but his donation of $53,000 to drug rehabilitation centre Odyssey House had "undoubtedly played a part" in the decision.

David Henderson

* Former electrician, 51, who started his empire by renovating old houses.
* Single shareholder and director of property firm Kitchener Group, which was behind the $200 million development of Princes Wharf and other successful developments in Auckland.
* Lives in the "eagle's nest" penthouse apartment atop the Hilton Hotel on Princes Wharf.