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Christchurch Rebuild Hampered by Widespread Fraud

Rt Hon Winston Peters
New Zealand First Leader
20 March 2013

Christchurch Rebuild Hampered by Widespread Fraud

New Zealand First is accusing the Government of dithering over wide-scale fraud associated with the Christchurch rebuild.

It is understood that fraudulent activity includes the deliberate over payment of contractors, and full payments to contractors for work not done or incomplete.

Rt Hon Winston Peters says Earthquake Recovery Minister Gerry Brownlee admitted in Parliament today under questioning from New Zealand First that he was aware of fraudulent activity.

“Why has the Minister not shared this information with the public so the public can help catch these criminals?

“It is time he stood up and revealed the extent of fraud currently under investigation which is estimated to be between $130 million and $250 million.”

Mr Peters is also asking why Fletchers is scoping the work house by house then signing invoices off for payment without even checking if the work has been done.

“The Minister should also clearly outline to what extent lead contractor Fletchers involvement is in any fraudulent activity.

“The $30 billion-plus rebuild of Christchurch has the potential for massive fraud if appropriate structure and process aren’t in place.

“But instead the Government is treating us all like mushrooms by keeping us in the dark as fraudsters eye up hundreds of millions of taxpayer dollars,” says Mr Peters

ENDS

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