NZ Post reviews and changes security processes after online credit fraud leaves $600K debt

An online account with New Zealand Post was used to order products on credit before later on-selling them. Photo / Michael Cunningham

New Zealand Post has increased its security for online orders after a scam saw the state-owned organisation left with a more than $600,000 debt.

Jacqueline Fraser-Haerewa and Caezar Kite appeared today in the Auckland District Court where Fraser-Haerewa pleaded guilty to fraud charges and Kite admitted receiving stolen property.

Fraser-Haerewa's con involved using an online account with New Zealand Post to order products on credit before later on-selling them on Trade Me, Stuff reported today.

The hustle was uncovered after NZ Post hired private investigators.

"It's disappointing that people sought to exploit our services, and following this incident last year we took action to increase security for online orders," a spokesperson for NZ Post said in a statement to the Herald.

"We have also reviewed the processes that were in place for opening new accounts, and now no longer allow customers without a credit history with us to open a credit account."

The spokesperson said initially, people will now need to use a cash account before credit will be extended.

"A robust credit check process is now in place for all new customers, to ensure this incident cannot be repeated," they said.

In all, NZ Post was left with a debt of more than $600,000 as a result of the fraud.

Fraser-Haerewa and Kite will be sentenced on November 8.