Twist to Chinese controversy

A Chinese-born businessman whose controversial path to New Zealand citizenship and subsequent arrest whipped up a political storm has had most of the charges against him dropped.

Yong Ming Yan - also known as Bill Liu, Yang Liu and William Yan - will still go to trial in the High Court at Auckland on May 7 on four charges of using an immigration-related document with intent to defraud and one of making a false statement for citizenship between January 2002 and May 2005. The 10-week trial will be heard by a judge only.

Crown prosecutor David Johnstone said eight other charges - two each of possession of a falsely obtained passport, using a document with intent to defraud and dishonest use of a document and one each of producing a false document to an immigration officer and making a false statutory declaration - were withdrawn on Wednesday.

In 2008, the Herald on Sunday reported Yan was wanted by the Chinese when he donated $5000 to Cabinet minister Chris Carter's Te Atatu electorate committee. Yan also met John Key and donated another $5000 to the National Party. The donations were made shortly after Yan applied for New Zealand citizenship.

Yan was charged with immigration offences in July 2009 after he was arrested while trying to board a plane leaving New Zealand.

His arrest embarrassed several MPs as it was revealed Yan was granted New Zealand citizenship in August 2008 after then-Associate Immigration Minister Shane Jones ignored advice from Internal Affairs officials, who wanted the businessman's request declined.

The decision fell to Jones because Cabinet colleague Rick Barker - who should have made the decision - was an acquaintance of Yan. Yan's citizenship application also included letters of support from former MPs Chris Carter, Dover Samuels and Pansy Wong.

Yan, considered a political opponent of the Chinese Government, was wanted in his homeland for an alleged fraud of several million dollars.

The Herald on Sunday understands there is still an arrest warrant for Yan in China.

Johnstone said the eight charges were withdrawn because of the length of the trial and the Crown was not assured its intended witnesses from China would be in New Zealand when required to give evidence.

"Without those witnesses, the Crown was unlikely to be in a position to prove beyond reasonable doubt a key allegation required for a conviction on the eight counts."

Johnstone would not elaborate on the key allegation.

The credibility of witnesses in the case was questioned during an earlier court hearing, amid fears of pressure from the Chinese Government.

Yan is represented by David Jones, QC, and Paul Wicks.