Tuhoronuku warned to pursue unity

Minister of Treaty Negotiations Chris Finlayson

Tuhoronuku's mandate to negotiate the Ngapuhi Treaty Settlement could be at risk following a strongly worded letter from the Minister of Treaty Negotiations and concerns over its finances and $500,000 loan it took out with the Ngapuhi Runanga.

The letter was sent to Tuhoronuku chairman, Hone Sadler, following a meeting between Mr Sadler, deputy chairman Kara George and the Minister of Treaty Negotiations Chris Finlayson on September 17.

The September 21 letter lists an array of issues raised in the meeting including concerns over the board's relationship with hapu, and financial matters.

"I am unlikely to regard a Tuhoronuku IMA that loses the support of a number of hapu kaikorero as capable of representing Ngapuhi in its negotiations with the Crown. I would then raise with the Minister for Maori Development the appropriateness of the Crown continuing to recognise the Tuhoronuku IMA mandate," Mr Finlayson said in the letter.

He said he was "concerned about the situation in Ngapuhi" and said Tuhoronuku needed to engage with opposing groups.

Mr Finlayson said he expected Tuhoronuku to make decisions necessary to enable major opposing groups to participate through Tuhoronuku, even if this resulted in a change in the current membership.

Mr Sadler said all trustees were committed to achieving Ngapuhi unity and since the meeting he was satisfied issues raised by Mr Finlayson had been or were in the process of being addressed. Mr Finlayson also said he was "deeply concerned" the board had borrowed more than $500,000 from the Ngapuhi Runanga as at June 30, 2015.

"A principal purpose of the changes made prior to mandate recognition was to ensure the independence of the Tuhoronuku IMA from the Runanga. Yet the Board, under Mr [Sonny] Tau's leadership appears to have allowed precisely the opposite to occur, namely a high level of financial dependency."

Mr Tau, the former chairman of the group and chairman of the Ngapuhi Runanga, did not wish to comment. Mr Sadler said it was necessary to utilise alternative funding to support the settlement process but would not be utilising further Runanga funding.

Mr Finlayson said Tuhoronuku should not make funding commitments going beyond the end of this year.

"As I have said on previous occasions, the Tuhoronuku IMA will not be underfunded in this negotiation provided I am confident it is on a path to settlement based on good planning and budgeting."

In a statement Tuhoronuku said a project team would work with the Office of Treaty Settlements on financial planning and budgets.

"A number of work streams are under way, to provide prudent financial planning and ensure the entity is not exposed to budget risks."

Mr Finlayson had no further comment to make at this time.