Commerce Minister Simon Power. Photo / Mark Mitchell
A Northland stock and station agent who argued his business was affected by the merger of Wrightson and Dalgety 24 years ago is not getting any compensation from the Government.
John Andrew Dickson, whose business went into liquidation in 1993, petitioned Parliament three times requesting compensation for loss of profits
as a result of alleged failures of the Commerce Commission, Examiner of Commercial Practices and the Secretary of Commerce to enforce conditions of the merger of Wrightson Dalgety, which was cleared by the commission in 1986.
The Ombudsman conducted an inquiry at the request of Parliament's commerce committee. This found no causal connection between the loss suffered by Dickson and any failure by the commission.
The committee agreed with this but found that unhelpful communication by the commission contributed to Dickson's loss of opportunity to pursue legal action against Wrightson and the Crown should accept moral responsibility for this. It recommended the Government consider an ex gratia payment to Dickson.
After independent legal advice, Commerce Minister Simon Power said yesterday that there would be no ex gratia payment.
He said this decision was made after an independent report by Peter McKenzie QC.
In 1992, the commission advised Dickson that the enforceability of the conditions of the merger were "questionable" due to differences between the Commerce Act 1975, under which the merger application had been lodged and decided, and the new Commerce Act 1986.
- NZPA
