Probe into 'state houses for money'

Housing New Zealand says it has uncovered at least 31 cases involving a staff member allegedly offering state houses for money, and has reported the matter to the police.

"I can say we have uncovered 31 cases, relating to one staff member, where people have been housed in state homes in circumstances we are concerned about," said chief executive Lesley McTurk.

"There are a smaller number of cases we are concerned about, relating to the same staff member, where people have applied for state housing but have not yet been housed."

Dr McTurk said that in all cases, Housing New Zealand's systems and processes had not been followed, and people who did not qualify could have obtained state housing tenancies.

"In doing so, they displaced someone else in greater need," said Dr McTurk.

She said the corporation started its investigations in January after a tip-off, and the staff member no longer works for the corporation.

Housing New Zealand spokeswoman Marie Winfield would not say where the houses were or how much money was involved because the matter was with police.

She said a police report was made in Auckland last week.

Police spokesman Kevin Loughlin confirmed that police was looking into the matter.