A man with a child who pulled up outside a Rotorua security firm and tried to light a suspected bomb sparked an emergency operation that resulted in hundreds being evacuated.
The large device, described by police as an "elaborate hoax", was dropped outside Independent Security Consultants on Tarewa Rd.
Policesaid it was a "nasty and cruel act" that inconvenienced emergency services and residents for nearly five hours on a busy Christmas Eve.
Office staff saw a man get out of a sky blue Izuzu MU ute that had a young boy, aged about 7, in the passenger seat.
Police said the wick of the device was singed, showing someone had tried to light it.
Independent Security Consultants manager Colin Norman said he was at a loss to know why someone would want to do that.
He said the company was involved in forestry and estate security and at times people were "aggrieved".
"But I would be astounded they would go to these lengths. The whole thing is a bit bizarre."
Mr Norman said it was only by fluke there were people in the office as it was supposed to be closed.
"It's a nasty thing to do at this time of year and I feel for the residents and the emergency services."
Senior Sergeant Dennis Murphy said police set up cordons on Tarewa Rd and evacuated people from homes, Kiwi Paka and the Rotorua Aquatic Centre.
Staff and about 14 children from Rotorua Child Care Centre were also evacuated. Staff said the children were told they were going for a walk in the park and parents were called to pick them up early.
The Defence Force bomb squad arrived from Auckland about 4.30pm and, dressed in full protective suits, examined the bomb.
By 5.45pm, they had established that it was a hoax.
"The device looked like a viable improvised explosive device," Mr Murphy said.
He said the squad dismantled the device and it would now undergo forensic examination.
"This was a nasty and cruel act, particularly on Christmas Eve."
Mr Murphy said police were now following leads to catch the man.
Margie Mahutonga, a Tarewa Rd resident, said she heard from "talk on the street" the man had tried to light the bomb outside the office.
"They reckon there was enough gun powder in there to blow up the front of the building.
"It's a real concern for the neighbourhood whanau because there are a lot of kids around here."
