A former Hamilton midwife who was jailed for making up the identities of babies that didn't exist to extort more than $350,000 from the Ministry of Health is now being chased for reparation.

Pania Lee Nin, 44, was jailed for two years and four months in November last year after earlier pleading guilty to a representative charge of obtaining by deception.

At the time, the judge ordered Nin pay back the $357,139, however she had subsequently appealed that decision and won.

Nin was released from jail on September 25 and is now on parole awaiting an unemployment benefit.


In a statement, a Ministry spokesperson said as Nin had successfully appealed the reparation order, the matter was now subject to a rehearing which is currently underway.

"As this matter is before the courts the Ministry of Health is unable to provide any further comment."

Nin made a brief appearance in the Hamilton District Court for the rehearing today.

The matter was adjourned after the crown prosecutor was unavailable to take part in proceedings.

It's understood the Ministry has sought a financial statement to assess how much money Nin has.

Nin's counsel Louis Wilkins said his client was prepared to sign an affidavit and be cross-examined by the crown at the next court appearance.

Judge Simon Menzies approved the remand but said he wanted it dealt with then as it had been dragging on for several months.

Nin, who is the subject of parole conditions, was remanded on further bail to reappear in December.


Nin's offending was uncovered during a Ministry of Health audit of claims submitted for maternity services.

It was then discovered she had been claiming payments for maternity services when she did not have a current Annual Practising Certificate to operate as a midwife, and had also been claiming New Zealand payments while registered and working in Australia.

An investigation of all of Nin's claims for maternity and home birthing services revealed that between January 2008 and January 2016 she had been paid for services for five mothers and 120 babies who do not exist.

When questioned, she said she didn't know why she had made the claims, and had spent the money on living costs.

However, in her parole board decision from last month, Nin realised that she had previously just made up "excuses" for what she did, "but today she fully acknowledges that she offended out of a sense of self-entitlement and greed".

"Her previous explanation about needing to support a family she now recognises was just an excuse."

After completing a course in prison, Nin told the board she was now able to identify the patterns and behaviour that led to her offending.

The report noted that Nin had been working the prison kitchen and had completed a barista course.

She was active with the church through which she hoped to have counselling.

The board was satisfied that, with the work she had done in prison, Nin no longer posed a risk to the community.