Pipi cheques inappropriate, ex-trustee tells court

Former ACT MP Donna Awatere-Huata and her husband Wi Huata arriving at the Auckland District Court yesterday. Picture / Martin Sykes

Pipi Foundation cheques made out to cash were not appropriate, the fraud trial of former ACT MP Donna Awatere Huata and her husband Wi Huata was told today.

Solly Purcell, a former trustee of the foundation to aid children's reading, told the trial in Auckland District Court today he had heard that some cash cheques had been drawn on foundation funds.

"Cheques for cash was inappropriate," he said in response to a question from Serious Fraud Office prosecutor Robert Fardell QC.

"If you are dealing with taxpayers' money, paying out money, you must have invoices covering the cheques made out," he said.

The pair are facing a total of seven charges. Four charges of fraud and one of attempting to pervert the course of justice are laid jointly against both, and Donna Awatere Huata is facing two additional fraud charges. They deny the charges.

The Serious Fraud Office claims the couple cashed Pipi Foundation cheques and used Pipi Foundation money for personal expenses, including school fees for their children and a stomach stapling operation for Awatere Huata, involving about $82,000.

Today Mr Purcell told the court how he was asked by Huata, chairman of the trust, to help with the reconstruction of minutes of meetings after the allegations of fraud were made and the exercise book containing trust records had disappeared.

"He said she (his wife) was innocent. He said 'please help'. I said I would help. I said 'is she innocent?'. He said yes and I said I would help."

However, Mr Purcell said three of the documents he signed during the reconstruction, which showed he was at some of the meetings, were wrong. For some of those meetings he was not a trustee.

Opening the prosecution yesterday, Mr Fardell said the case was all about greed and nothing more complicated than that.

- NZPA