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An Auckland policewoman was involved in a $28,000 pokies grant for a gym at the Head Hunters gang pad.
Constable Janet Briggs was one of three trustees of the Actives Charitable Trust, which granted gaming machine proceeds to the That Was Then, This Is Now charitable trust - registered at the gang's Ellerslie HQ.
Ms Briggs works in the traffic unit in nearby Glen Innes.
Actives made grants of $6259.69, $10,367.01 and $12,260 to That Was Then, This Is Now in the year to June 2005.
Asked why the money was granted, Ms Briggs' brother Robert, also an Actives trustee at the time, said it was for a gym.
Senior Head Hunter Wayne Doyle said everything was done correctly and Ms Briggs' role as a constable was a matter for the police.
Although linked to West Auckland, the gang has recently had a presence in Ellerslie's Marua Rd.
The pad made headlines in 2003 when it was found schools were having after-ball parties there.
The Head Hunters were formed in 1967, and police say the tightly knit interracial group has more than 1000 criminal convictions among its members, but now prefers to keep a low profile and is usually pulled up only in major drug investigations.
The three-level Marua Rd building has accommodation, a boxing gym, a cage for motorcycles and an indoor/outdoor area for functions.
A police spokeswoman said Ms Briggs was acting in a private capacity.
The spokeswoman said the police accepted there were some former and present gang members who offered opportunities to young people wanting to improve their lives through legitimate and genuine means.
Ms Briggs released a statement saying each application was assessed on its merits and that she had granted funds to the Cancer Society and the Sensible Sentencing Trust.
Mr Briggs is no longer a trustee.