By AINSLEY THOMSON
A Waihi man had more than $7 million go through his bank accounts while receiving accident compensation, a Hamilton court heard yesterday.
Ronald Frederick Donaldson, also known as "Butch" and Ronald Robinson, is charged with 79 counts of fraud related to ACC payments received between 1989 and 1999.
The 61-year-old, who owns and lives at the Waihi airfield, received more than $495,000 in weekly compensation from ACC during the period.
In his opening address at the Hamilton District Court, Crown prosecutor Jonathan Temm said Donaldson received weekly payments of $1082 after claiming to have hurt his back in July 1988.
The Crown alleges that Donaldson, a former fitter and welder, misled ACC about his capacity to work.
Mr Temm told the court there was "ample evidence" that Donaldson was not incapacitated.
He said that in 1989 Donaldson was involved in a boat-building business in Huntly with Les Wykes, and there was evidence Donaldson completed the physical work.
Later that year, Donaldson, Mr Wykes and a third partner developed a new housing construction method called Tri-panels.
The company prospered and was eventually sold in 1997 to Fletchers for $2.2 million.
At the sale date there were $12.26 million in contracts under way and a further $8.5 million in contracts signed but not started.
Mr Temm said Donaldson bought and sold 23 Waikato properties.
He was also involved in property speculation with Mr Wykes.
Search warrants executed on 11 bank accounts belonging to Donaldson revealed that during the period he was receiving ACC, $7.3 million was turned over in his accounts.
Accounts in Donaldson's name only had a turnover of $5.24 million during the period.
Donaldson's lawyer, Warren Scotter, said his client did not have the necessary criminal intent to defraud ACC, and that he believed he was entitled to every dollar he received.
He said Donaldson's back injury was serious, and in 1991 an orthopaedic surgeon wrote in a report commissioned by ACC that, "It is unlikely he will ever resume heavy physical work", but he could do light, selected work.
Mr Scotter said that while Donaldson was on ACC he rarely worked more than three or four hours a day.
"And what he did could usually be better described as socialising than work."
He said the money Donaldson received was investment returns and did not affect his ACC entitlement.
"He was not obliged to tell ACC anything about any of this money."
The case, being heard by Judge Robert Wolff and a jury, is set down to continue for three weeks.
* ACC media adviser Fraser Folster said the alleged fraud was in the top five claimant fraud cases brought before a court, and the biggest in the past three years.
Jury told of $495,000 in compo
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