Virtual cash handouts unacceptable no matter how small the amount, Electoral Commission warns

East Vision candidate Morgan Xiao with Auckland Mayor Phil Goff. Picture / Supplied Facebook.

The practice of political candidates handing out virtual cash credits could be unacceptable depending on the amount given, the Electoral Commission has warned.

This follows a Herald report about a Howick local board candidate who confirmed he had given cash credits to potential supporters to advertise his team's campaign launch on Saturday.

Morgan Xiao, 34, who is standing under the East Vision ticket, said the amount he distributed via WeChat hongbao or red envelopes were "very small, just a few cents" as a way to advertise the team's campaign event.

In 2017, the commission cleared a Maori Party candidate in the general election for also giving money through WeChat because the amount involved was small and would not have convinced a person to vote in a particular way.

"However, the commission also warned the parliamentary candidate against using WeChat red envelopes - no matter how small the amounts involved - because of the risk of complaints about bribery," a commission spokesman said.

"Such a practice might actually amount to bribery, depending on the circumstances, the amounts involved and the intent to induce. In other words, the commission considers virtual cash credits are not an acceptable practice for parliamentary candidates, no matter what the amount."

However, he said the Department of Internal Affairs was responsible for administering legislation for local body elections and not the Electoral Commission.

Xiao, a sales assistant, said he regularly distributed hongbao dollars in WeChat groups, and had given out six before realising he could be breaking election rules.

He told the Herald the practice was "part of Chinese culture" and "a way of blessing", and not meant for seeking votes.

Xiao, a Labour Party member, said each virtual envelope he distributed on the Chinese social media message app contained about $1 to $2, and meant to be shared by members of the group.

Electoral Officer Dale Ofsoke said the local elections was governed by the Local Electoral Act 2001, which included bribery and treating as offences.

"In my role as Electoral Officer, if I receive a written complaint that an offence has been committed under the Act, or I believe for any other reason that an offence has been committed, than I must forward any written complaint to the police," Ofsoske said.

"The police would then decide on any subsequent action, such as prosecution under the Act."

A Department of Internal Affairs said it had not received any complaints about candidates offering cash for votes either through WeChat or any other means in the 2019 local elections.