Maier joins Ngai Tahu day after SCF collapse

South Canterbury Finance chief executive Sandy Maier became a director of Ngai Tahu Holdings the day after it went into receivership. Photo / Sarah Ivey

South Canterbury Finance chief executive Sandy Maier became a director of Ngai Tahu Holdings the day after Allan Hubbard's finance company was placed in receivership and helped steer the iwi business conglomerate into an abortive bid for the company two weeks later.

Companies Office records show Maier become a director of Ngai Tahu Holdings on September 1.

Opposition finance spokesman David Cunliffe this week told Parliament Ngai Tahu, along with the NZ Superannuation Fund, was part of a consortium led by Sydney-based businessman Duncan Saville and his company Permanent Investments which made a bid for the company on September 13.

Receiver Kerryn Downey of McGrathNicol yesterday confirmed Maier remained South Canterbury's chief executive and also acknowledged the bid referred to by Cunliffe.

He said he was aware of Maier's involvement with Ngai Tahu at the time of the bid and was comfortable that any issues around his dual roles were well managed.

The Herald understands Ngai Tahu's interest was in acquiring a stake in an ongoing South Island finance company that would emerge from South Canterbury's assets while the NZ Superannuation Fund was interested in the company's dairy farm assets, which it has since acknowledged.

A source close the deal said Maier, who had worked with Ngai Tahu before his appointment as South Canterbury chief executive, had helped introduce Ngai Tahu to Saville but his appointment to the board was unrelated to the bid.

The source said it was believed the involvement of Ngai Tahu and the NZ Superfund in what was effectively Saville's third offer for South Canterbury, would have made it more palatable to the public and therefore more politically acceptable.

However the source said the September 13 bid, along with the previous
offer to buy the company the day it went into receivership were declined at the last moment with the receivers and Government offering no explanation.

Cunliffe this week has asked Finance Minister Bill English to explain why the Government pulled the pin at the last moment on Saville's August 31 offer which is understood to have been worth $1.3 to $1.4 billion.

At that price, Cunliffe says the eventual loss to the taxpayer from the affair would be considerably lower than has been estimated by the Government.

So far, English has declined to acknowledge Saville's offers let
alone why the Government chose to reject them except to say that at no point was there any offer on the table "that did not involve considerable risk and cost to the Crown".

Treasury is to release documents relating to the Crown Retail Deposit
Guarantee and South Canterbury Finance later today.

"Hopefully the documents will answer the question why did the Government take a loss that appears to be at least 300 million bigger than they would have faced," Cunliffe said last night.

However the Herald's source believed it was unlikely the documents would shed light on why the Government turned down Saville's offers.