localmatters.co.nz
November 16, 2016
Proudly NZ Owned
Your Local Community Newspaper FREE
Projenz denies serious fraud charges in court George Driver
A company director accused of bribing senior managers at Rodney District Council (RDC) and Auckland Transport (AT) has said paying for lavish dinners, swanky accommodation and overseas travel for council staff was “an industry standard”. Stephen Borlase, the director of contracting company Projenz, is facing serious fraud charges relating to tens of thousands of dollars spent on entertainment and travel for council staff and over $1.1 million of bribes. Co-accused Murray Noone, a former transport manager at RDC and AT, is accused of accepting the bribes between 2006 and 2013. Both have pleaded not guilty to all charges. The serious fraud case was due to wrapup as Hibiscus Matters went to print and a verdict is expected this month. Mr Borlase took the stand on November 7 and 8 as the trial entered its sixth week. Under questioning from his lawyer Ron Mansfield, Mr Borlase described wining and dining RDC and AT staff as “legitimate business expenses”. The dinners cost over $5000 in some cases, while tens of thousands of dollars was spent on travel for a number of council staff. “It was an industry standard. Our attitude was that we saw all our competitors and colleagues doing the same thing,” Mr Borlase said.
When he crossed the finish line of the Auckland Marathon last month, Andy Connor, a customer services worker from Red Beach, finally completed his goal of running five full marathons in a single year while fundraising for World Vision. Photo, Saskia Connor (see story p3)
Russell Hobbs Kettle • Whisper Quiet Boil-Tec • 2200 Watts • 1.7 litre capacity • Soft-touch handle 3090
Eddie Law
“We didn’t want to be seen as stingy clients. It would impact on our profits, but it was a pretty good investment.” A number of RDC staff were named in court documents for receiving benefits from Projenz including significant amounts of accommodation, travel and electronics. Ten RDC staff also received iPhones or iPads from Projenz. Mr Borlase said it was to make it easier to communicate with staff. The court heard how gifts to former RDC and AT transport manager Barrie George started in 2006 and escalated to over $100,000 worth of gratuities by 2012. Mr George was sentenced to 10 months home detention in September after pleading guilty to receiving bribes from Projenz. It started with a travel voucher that Mr Borlase gave to Mr George at his 60th birthday party at the Spencer on Byron Hotel in Takapuna in November 2006. Mr Borlase said he made no secret of the gift – it was presented in front of everyone at the party, including RDC staff and other contractors – no-one raised a complaint. Mr Mansfield then walked Mr Borlase through tens of thousands of dollars in travel and accommodation that Projenz gifted to Mr George and his family. In just over a year, between 2008 and 2009, the trips included a $3532 holiday to Fiji, a $4793 trip to Europe, a $6200 trip to Thailand, a $2148 trip to Asia and a $4662 trip from the UK. continued page 2
Russell Hobbs Slow Cooker 4443BSS
• 3.5 litre capacity • Removeable ceramic oven proof pot • Tempered glass lid • Brushed stainless steel
WE ARE LOCAL & WE CARE & WE WON’T BE BEATEN ON PRICE. WE SPECIALISE IN APPLIANCE SERVICING THE LONGEST ESTABLISHED DEALER ON THE COAST!
WHANGAPARAOA PLAZA • PHONE 424 7870 • www.eddielawappliances.co.nz