Couple to repay spent marae funds

The husband and wife trustees of a Tauranga marae have been ordered to repay $20,670 in misappropriated funds spent at pubs, casinos and takeaway shops.

Court documents reveal Janice and Carlo Harrison, trustees of Ngati Ruahine's Waimapu Marae, admitted withdrawing money from trust accounts at casinos in Hamilton and Auckland and at a variety of bars in Tauranga during 2013 and the first half of 2014.

In August 2014, trustee Lance Waaka became aware of the "irregular spending" of marae funds and got the bank to place a freeze on accounts.

Mr Waaka raised his concerns with his fellow marae trustees and with the Ngati Ruahine Charitable Trust, which had provided the funds from Treaty settlement money to go towards marae renovations.

At a Ngati Ruahine Charitable Trust hui in September, minutes show a resolution had been reached and no further action was required.

In his ruling, Judge Stephen Clark said Ngati Ruahine Charitable Trust's "close familial relations" may explain the "surprising stance" adopted at this hui.

"When a complaint was made by Lance Waaka, NRCT were prepared to forgive the offending committed by their relations, rather than insist upon a more robust inquiry into the offending that had occurred.

"Rather than congratulating Mr Waaka for bringing offending to their attention, he was criticised by fellow trustees and NRCT trustees for not keeping the matter in-house'."

In November, Mr Waaka filed an application with the Maori Land Court.

Judge Clark said there were at least 44 instances of misappropriation throughout the period of offending. He said a proper forensic inquiry would be required to discover the true level of misappropriation of marae trust funds.

"Other than the 44 eftpos withdrawals at casinos, pubs and bars which Janice and Carlo Harrison have admitted to, there are a number of other withdrawals and use of marae trust funds which warrant further investigation. That requires a forensic exercise best carried out by the New Zealand Police ... a course of action which remains open to the applicant."

Judge Clark removed Janice and Carlo Harrison as trustees and ordered them to pay $20,670 to the Waimapu Marae trustees.

The Harrisons' niece, Erena Ririnui, also a marae trustee, was made aware of spending at casinos and bars in March 2013 but continued to co-sign 21 cheques, many blank, with Janice Harrison. Judge Clark also removed her as a trustee.