Parker's ex-partner tells why he went public

Russell Hyslop

When Russell Hyslop contacted Investigate magazine last month with a gripe about his former business partner, David Parker, he never dreamed it would result in the Government minister resigning from the Cabinet.

Mr Hyslop told the Herald yesterday that he went public in the "naive" hope he could change the system he believes led to his being declared bankrupt. Mr Hyslop has known Mr Parker for over 20 years.

But he feels aggrieved from his business dealings with Mr Parker and believes he had to shoulder most of the burden of the failed ventures.

In Parliament yesterday Mr Parker said the allegations in Investigate boiled down to three accusations: that he swindled Mr Hyslop out of money and thereby brought about his demise; that he tried to bribe Mr Hyslop; and that he filed a false return to the Companies Office.

Mr Parker says he is guilty of only the last accusation - the reason for his resignation.

The two men's business dealings began in the late 1990s when they and Mr Parker's father, Francis, set up the company Queens Park Mews to develop a block of land in Invercargill.

Mr Hyslop told Investigate the Parkers put up the money for the business and he provided the property development knowledge.

He alleges the deal was arranged so the Parkers had limited liability, and he carried the risk.

The business deal turned sour and Mr Hyslop claims he was left $512,000 out of pocket and subsequently was declared bankrupt.

"I got left suffering the loss of what we all should have suffered," he told the Herald.

Mr Parker said Mr Hyslop was looking for someone else to blame for his demise, but "he is wrong to say that I caused his downfall".

He said the Official Assignee looked into the allegations at the time of Mr Hyslop's bankruptcy and decided to take no further action.