The lawyer for the man accused of trying to trick Tainui into paying $24 million for five Hamilton buildings says it is not a crime to make a profit - even though the buildings were worth just half that amount.
Gary Gotlieb, who is representing former Countrywide Bank mobile manager Blair
Kirk, told the Auckland District Court yesterday that his client saw an opportunity in 1998 and was simply trying to be creative when attempting to on-sell the properties, which are in the Hamilton central business district.
Kirk, aged 30, and former Tainui chief executive officer Craig Beecroft, 29, are accused of trying to defraud the Waikato tribe in 1998 by arranging the purchase of five buildings for $11.8 million and then attempting to on-sell them for $24 million.
During the three-month-long trial, the Crown has alleged that Kirk bought the buildings and then used Beecroft's position within the tribe to convince Tainui to pay the inflated price.
The pair, who were close friends, face two fraud charges, each relating to a signed sale-and-purchase agreement to buy the buildings and a $500,000 cheque drawn from Tainui's account to fund a deposit.
But in his opening address yesterday, Mr Gotlieb said prices in the property market fluctuated dramatically and Kirk was just trying to make something happen.
When it came to unique properties such as the Tower Building, Hamilton's tallest and one of the five for sale, the sky was the limit, Mr Gotlieb said.
"When selling something you will always pitch it at a higher price because you have the expectation that there will be a counter-offer."
Mr Gotlieb said the $24 million price-tag was set by Auckland property developer Donal Macky, who was presenting the deal for Kirk.
"Mr Macky, in his experience, decided that he was going to play hard-ball.
"Whatever happened between Mr Macky, Mr Beecroft and Tainui was out of the control of Mr Kirk."
Beecroft has denied knowing that Kirk was behind the company offering the buildings for sale.
Mr Gotlieb said Kirk was a professional person and although he spoke with Beecroft frequently, he did not discuss everything with him.
The trial, before Judge Russell Johnson, is due to conclude next week.
The lawyer for the man accused of trying to trick Tainui into paying $24 million for five Hamilton buildings says it is not a crime to make a profit - even though the buildings were worth just half that amount.
Gary Gotlieb, who is representing former Countrywide Bank mobile manager Blair
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