MP's fate could rest on one word

Tauranga MP Bob Clarkson, supported by colleague Tony Ryall, faces the prospect of losing his seat. Picture / Alan Gibson

The legal meaning of a word could decide whether Tauranga MP Bob Clarkson keeps his seat.

Chief High Court judge Justice Tony Randerson, who is presiding over a panel of three judges in a hearing that could determine Mr Clarkson's political future, yesterday said Mr Clarkson's fate could depend on the definition of the word "materials" in a section of the Electoral Act relating to election expenses.

Justice Randerson said if "materials" was found to mean "donated services" as well as physical materials Mr Clarkson would probably be over the $20,000 campaign spending limit.

"That legal point is going to be critical to our findings," he said.

The judge said the definition could potentially include services provided free of charge or below market value to a candidate's campaign, and asked lawyers for both sides to make submissions in their closing arguments on the law's intention.

This is the first time the Electoral Act has been tested.

Justice Randerson also asked for submissions on the issue of knowledge relating to the corrupt practice allegation against Mr Clarkson. Mr Clarkson must be proved to have knowingly overspent to be found guilty of corrupt practice.

New Zealand First leader Winston Peters has filed a claim alleging that the National MP did knowingly overspend.

Mr Clarkson has denied the allegation, which, if proved, would cost him his seat and force a byelection.

The case is being heard in a special sitting of the High Court at Tauranga.

Much of the second day of the hearing yesterday was taken up with evidence presented by Mr Peters' campaign manager, John Foote.

Mr Foote had calculated "reasonable costs" for Mr Clarkson's campaign expenses at the request of Mr Peters' lawyer, Brian Henry.

His results were mostly higher than the figures supplied by Mr Clarkson.

Mr Foote said his calculations were based on his experience as a campaign manager here and overseas, and on the market rate for the items, which included a telephone poll, advertising billboards and a newspaper supplement.

Mr Foote calculated the cost of the three-page supplement published by the Bay of Plenty Times as $11,812.50.

Justice Randerson issued Mr Henry with a stern telling-off because of discrepancies between some figures quoted by the witness and others listed in a memorandum provided by Mr Henry.

The judge said it was "most unsatisfactory" that documents had not been properly prepared.

He said the judges would be paying close attention to the manner in which evidence was presented.

Mr Henry had indicated on Monday that he would call Mr Clarkson and his campaign manager, Wayne Walford, as witnesses after serving them with subpoenas. But he changed his mind yesterday, prompting Mr Clarkson's lawyers to say they would call Mr Walford today.

Mr Clarkson is not expected to take the stand.

The hearing is expected to end tomorrow.

The laws

Section 213 of the Electoral Act states:

"Election expenses", in relation to a candidate at an election, include the reasonable market value of any materials applied in respect of any election activity which are given to the candidate or which are provided to the candidate free of charge or below reasonable market value.