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Home / Rotorua Daily Post

Rotorua landlord ordered to pay $6000 for inhumane living conditions

Kelly Makiha
By Kelly Makiha
Multimedia Journalist·Rotorua Daily Post·
26 May, 2025 07:35 PM5 mins to read

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Poor living conditions in Rotorua as tenant takes on Tribunal Video / NZ Herald
  • A Rotorua trust linked to landlord Stephen Bhana must pay a tenant $6267 for poor living conditions.
  • The Tenancy Tribunal found the Ranolf Trust misled the tenant about meeting Healthy Home Standards.
  • The tenant endured mould, leaks, and broken appliances, leading to maximum exemplary damages of $7200 for providing a sub-standard rental.

The tenant of a Rotorua trust linked to controversial landlord Stephen Bhana endured months of “inhumane and degrading” living conditions, the Tenancy Tribunal has heard.

The tribunal found the Ranolf Trust - run by Stephen Bhana and his sister Jasu Mati Bhana - deliberately misled the tenant by falsely claiming the property met Healthy Home Standards.

It ordered the trust to pay the tenant more than $6000 – noting the trust had been involved in similar Residential Tenancies Act breaches before, with maximum exemplary damages imposed.

The ruling followed similar cases last year.

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In one, Stephen Bhana was ordered to pay $12,000 in exemplary damages after tenancy breaches such as trying to fix a leaking roof with a tea towel. In another, an inspector described the “shocking” state of a leaky rental owned by Jasu Mati Bhana’s company, which used her brother as an agent.

In the latest case, the tenant asked the tribunal to put a restraining order on the landlord preventing it from doing similar “unlawful acts” against other tenants.

The tenant, whose name the tribunal suppressed, requested more than $12,000 in damages.

 Rotorua landlord Stephen Bhana. Photo / TVNZ
Rotorua landlord Stephen Bhana. Photo / TVNZ

Shoddy living conditions included mould, leaks, rotting wood, no hot water pressure, broken appliances and power sockets, and a faulty drain the landlord tried to fix with an ice cream container.

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The case was heard in March after three adjournments at the Bhanas’ request, citing medical issues and needing more time to prepare.

Stephen Bhana, who described himself as a representative of the landlord, tried again in March to have the hearing put off, saying an eye injury prevented him from preparing.

Adjudicator Mikail Steens declined, saying the landlord had ample time to prepare or instruct someone to appear. Steens said the tenant asked for a quick resolution due to health issues, and had arranged time off work to attend hearings.

The tenancy ran over 27 weeks last year and ended with $7700 in rent unpaid. Steens reduced this to $2110 given the property was not up to a reasonable standard.

The tenant told the hearing it was not fit from the start.

When she picked up the keys, the home was in a “state of disarray”, with scattered tools, wet carpets, no cold water in the bathroom, missing or damaged fittings, and the landlord still making repairs.

The kitchen bench was so rotten she could not prepare food, instead using a table or going to her mother‘s home - where she and her daughter also showered as the rental’s water pressure was so bad.

The rental had no cold water when the tenant picked up the keys, and she had to shower elsewhere due to the poor water pressure. File photo / NZME
The rental had no cold water when the tenant picked up the keys, and she had to shower elsewhere due to the poor water pressure. File photo / NZME

The kitchen light didn’t work, so she used a lamp for 10 weeks, and only one stove element worked.

Other issues included a broken fibre box, a leaking heat pump and a broken washing machine that was never repaired.

The tenant said she and her daughter moved to the property from emergency housing, expecting stability and safety.

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“Instead, she found the conditions similarly distressing, with mould, poor maintenance, and a lack of basic amenities,” the tribunal’s order said.

The conditions affected her family’s health and contributed to personal hardship.

“She stated the tenancy was traumatic and the unchecked conditions inhumane and degrading, and that the landlord repeatedly ignored or dismissed her requests for help.”

For providing a sub-standard rental, Steens awarded the maximum exemplary damages of $7200 given the landlord’s awareness and the seriousness of the breaches.

Stephen Bhana has been involved in other cases relating to sub-par residential buildings in Rotorua. Photo / Felix Desmarais
Stephen Bhana has been involved in other cases relating to sub-par residential buildings in Rotorua. Photo / Felix Desmarais

The order said the landlord provided the tenant with an outdated insulation statement from 2019 and a general Healthy Homes Standards compliance statement, not specific to that property.

Steens described that as a “deliberate attempt to mislead the tenant”. Given similar breaches by the landlord in other cases, the adjudicator awarded $1650 in damages - the maximum available.

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The tenant claimed the landlord deliberately interfered with the water supply and electricity.

Steens agreed given the landlord took no practical steps to fix any of the issues raised.

Steens awarded a further $1500 for the landlord not fixing broken window latches and stays, leaving the property unsecured and prone to draughts.

Another $500 in damages was awarded for failing to provide a chattel list, despite the landlord claiming the tenant had taken items.

“The tenant expressed deep frustration at being accused of damaging the property or removing items, stating she felt blamed and provoked after enduring months of substandard living conditions,” the order said.

The trust was also ordered to reimburse the tenant’s $27 filing fee, bringing the total exemplary damages to $10,877.

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The tenant must pay $2110 in outstanding rent and the $2500 bond would be returned to her.

The Ranolf Trust must pay the tenant $6267 immediately.

The request for a restraining order against further similar breaches would require a separate hearing.

It could be made under Section 109A of the Residential Tenancies Act if the tribunal was satisfied it was in the public interest.

Kelly Makiha is a senior journalist who has reported for the Rotorua Daily Post for more than 25 years, coveringmainly police, court, humaninterest and social issues.

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