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Scoop
28-05-2025
- Business
- Scoop
Gisborne Council Awarded $51k From Forestry Company In Environment Court Decision
Article – Zita Campbell – Local Democracy Reporter Environmentalists call for stronger regulations to prevent similar issues. Gisborne District Council has recovered half of just over $100,000 spent on what its legal representative described as 'avoidable' legal costs in an Environment Court decision against a Chinese-owned forestry company. The case followed several recent enforcement actions taken by the council across several forests, including Kanuka, West Ho, Te Marunga, and Wakaroa, which the council says have resulted in forestry operators reducing risks and improving compliance. Environmentalists said they were pleased with the legal outcome but believe these issues should be addressed through stronger regulations. The council spent $101,175 on legal and expert witness costs associated with a four-day hearing in July last year. The hearing concerned enforcement orders related to woody debris and sediment migrating from commercial forestry activity in the Kanuka Forest in the Upper Waimata River catchment. According to the court decision, the council argued that the conduct of the forestry groups, China Forestry Group (CFG), and management company Wood Marketing Services (WMS), 'unnecessarily lengthened' the hearings process through conduct before and during the hearings, which included the NZ-based director of China Forestry Group NZ, Mr Yuxia Sun, resigning 10 days before the hearing. The council submitted that the respondents provided 'arguments without substance and technical or unmeritorious points which failed', which caused the council to incur more 'avoidable legal costs' drafting submissions in response. Speaking with Local Democracy Reporting, council's resource management compliance manager, Gary McKenzie, said the council had a responsibility to uphold environmental standards and protect public welfare as a regulatory authority. 'While some costs can be recovered through the courts, full cost recovery is not always possible. Like other regulatory agencies, we rely on public funding to fulfil these statutory obligations,' McKenzie said. He confirmed the costs awarded by the court had been paid to the council by the respondents. 'The council will continue to monitor forestry activity across the region and, where necessary, pursue legal action where environmental risks are not adequately managed.' During a council meeting last year, council chief executive Nedine Thatcher Swann said about forestry prosecutions that for every $1 million spent on legal and investigation fees, 'you may get $250,000 back'. The environmental group, Mana Taiao Tairāwhiti (MTT), served as a third respondent to the case, with Alanya Limmer, a King's Counsel from Uawa, working pro bono. Spokesman Manu Caddie said it was a poor way to manage environmental issues and not fair to ratepayers, as it took council resources, including staff time away from other priorities. 'A small community group like ours could never afford to go up against these multinational companies like China Forestry Group if it wasn't for Alanya's generosity,' Caddie said. He said it was the fifth enforcement order application against forestry companies, four of which have been successful and one of which was awaiting an outcome. 'This is an incredibly costly and ineffective way of trying to reduce risk in catchments across Tairāwhiti and should instead be dealt with through stronger regulations.' The lawyers of China Forestry Group and Wood Marketing Services said the organisations did not wish to comment. The court decision, made on April 28, enforced China Forestry Group NZ, its NZ director at the time, Mr Yuxia Sun (who has since resigned), and management company Wood Marketing Services to pay the council $51,000 and MTT $8500. The council sought various enforcement order applications on September 8, 2023, which were granted nearly a year later on August 9, 2024 However, 'the issue of costs was reserved', with the court granting leave for the council and MTT to apply for costs. The council sought half of its expenses incurred in its application, which the court rounded up to $51,000. The $51,000 will be split, $38,250 for China Forestry Group NZ and Sun, and $12,750 for Wood Marketing Services. MTT's $8500 will be split, $6000 for China Forestry Group and Sun and $2500 for Wood Marketing Services. The court found that the respondents contributed to the length of the case management process and the hearing, with 'WMS's contribution to the length of the process less than CFG in terms of the way it conducted itself at the hearing. Further, it complied with Court directions'.
Scoop
28-05-2025
- Business
- Scoop
Gisborne Council Awarded $51k From Forestry Company In Environment Court Decision
Wednesday, 28 May 2025, 7:50 pm Article: Zita Campbell - Local Democracy Reporter Gisborne District Council has recovered half of just over $100,000 spent on what its legal representative described as 'avoidable' legal costs in an Environment Court decision against a Chinese-owned forestry company. The case followed several recent enforcement actions taken by the council across several forests, including Kanuka, West Ho, Te Marunga, and Wakaroa, which the council says have resulted in forestry operators reducing risks and improving compliance. Environmentalists said they were pleased with the legal outcome but believe these issues should be addressed through stronger regulations. The council spent $101,175 on legal and expert witness costs associated with a four-day hearing in July last year. The hearing concerned enforcement orders related to woody debris and sediment migrating from commercial forestry activity in the Kanuka Forest in the Upper Waimata River catchment. According to the court decision, the council argued that the conduct of the forestry groups, China Forestry Group (CFG), and management company Wood Marketing Services (WMS), 'unnecessarily lengthened' the hearings process through conduct before and during the hearings, which included the NZ-based director of China Forestry Group NZ, Mr Yuxia Sun, resigning 10 days before the hearing. The council submitted that the respondents provided 'arguments without substance and technical or unmeritorious points which failed', which caused the council to incur more 'avoidable legal costs' drafting submissions in response. Speaking with Local Democracy Reporting, council's resource management compliance manager, Gary McKenzie, said the council had a responsibility to uphold environmental standards and protect public welfare as a regulatory authority. 'While some costs can be recovered through the courts, full cost recovery is not always possible. Like other regulatory agencies, we rely on public funding to fulfil these statutory obligations,' McKenzie said. He confirmed the costs awarded by the court had been paid to the council by the respondents. 'The council will continue to monitor forestry activity across the region and, where necessary, pursue legal action where environmental risks are not adequately managed.' During a council meeting last year, council chief executive Nedine Thatcher Swann said about forestry prosecutions that for every $1 million spent on legal and investigation fees, 'you may get $250,000 back'. The environmental group, Mana Taiao Tairāwhiti (MTT), served as a third respondent to the case, with Alanya Limmer, a King's Counsel from Uawa, working pro bono. Spokesman Manu Caddie said it was a poor way to manage environmental issues and not fair to ratepayers, as it took council resources, including staff time away from other priorities. 'A small community group like ours could never afford to go up against these multinational companies like China Forestry Group if it wasn't for Alanya's generosity,' Caddie said. He said it was the fifth enforcement order application against forestry companies, four of which have been successful and one of which was awaiting an outcome. 'This is an incredibly costly and ineffective way of trying to reduce risk in catchments across Tairāwhiti and should instead be dealt with through stronger regulations.' The lawyers of China Forestry Group and Wood Marketing Services said the organisations did not wish to comment. The court decision, made on April 28, enforced China Forestry Group NZ, its NZ director at the time, Mr Yuxia Sun (who has since resigned), and management company Wood Marketing Services to pay the council $51,000 and MTT $8500. The council sought various enforcement order applications on September 8, 2023, which were granted nearly a year later on August 9, 2024 However, 'the issue of costs was reserved', with the court granting leave for the council and MTT to apply for costs. The council sought half of its expenses incurred in its application, which the court rounded up to $51,000. The $51,000 will be split, $38,250 for China Forestry Group NZ and Sun, and $12,750 for Wood Marketing Services. MTT's $8500 will be split, $6000 for China Forestry Group and Sun and $2500 for Wood Marketing Services. The court found that the respondents contributed to the length of the case management process and the hearing, with 'WMS's contribution to the length of the process less than CFG in terms of the way it conducted itself at the hearing. Further, it complied with Court directions'. © Scoop Media
1News
27-05-2025
- Business
- 1News
Council awarded $51k from forestry company in court decision
Gisborne District Council has recovered half of just over $100,000 spent on what its legal representative described as "avoidable" legal costs in an Environment Court decision against a Chinese-owned forestry company. The case followed several recent enforcement actions taken by the council across several forests, including Kanuka, West Ho, Te Marunga, and Wakaroa, which the council says have resulted in forestry operators reducing risks and improving compliance. Environmentalists said they were pleased with the legal outcome but believe these issues should be addressed through stronger regulations. The council spent $101,175 on legal and expert witness costs associated with a four-day hearing in July last year. The hearing concerned enforcement orders related to woody debris and sediment migrating from commercial forestry activity in the Kanuka Forest in the Upper Waimata River catchment. ADVERTISEMENT According to the court decision, the council argued that the forestry groups, China Forestry Group (CFG), and management company Wood Marketing Services (WMS), "unnecessarily lengthened" the hearings process through conduct before and during the hearings. This included the NZ-based director of China Forestry Group NZ, Yuxia Sun, resigning 10 days before the hearing. The council submitted that the respondents provided "arguments without substance and technical or unmeritorious points which failed", which caused the council to incur more "avoidable legal costs" drafting submissions in response. Speaking with Local Democracy Reporting, council's resource management compliance manager, Gary McKenzie, said the council had a responsibility to uphold environmental standards and protect public welfare as a regulatory authority. "While some costs can be recovered through the courts, full cost recovery is not always possible. Like other regulatory agencies, we rely on public funding to fulfil these statutory obligations," McKenzie said. He confirmed the costs awarded by the court had been paid to the council by the respondents. "The council will continue to monitor forestry activity across the region and, where necessary, pursue legal action where environmental risks are not adequately managed." ADVERTISEMENT Call for stronger regulations During a council meeting last year, council chief executive Nedine Thatcher Swann said about forestry prosecutions that for every $1 million spent on legal and investigation fees, "you may get $250,000 back". The environmental group, Mana Taiao Tairāwhiti (MTT), served as a third respondent to the case, with Alanya Limmer, a King's Counsel from Uawa, working pro bono. Spokesman Manu Caddie said it was a poor way to manage environmental issues and not fair to ratepayers, as it took council resources, including staff time away from other priorities. "A small community group like ours could never afford to go up against these multinational companies like China Forestry Group if it wasn't for Alanya's generosity," Caddie said. He said it was the fifth enforcement order application against forestry companies, four of which have been successful and one of which was awaiting an outcome. "This is an incredibly costly and ineffective way of trying to reduce risk in catchments across Tairāwhiti and should instead be dealt with through stronger regulations." ADVERTISEMENT The lawyers of China Forestry Group and Wood Marketing Services said the organisations did not wish to comment. The court decision, made on April 28, enforced China Forestry Group NZ, its NZ director at the time, Yuxia Sun (who has since resigned), and management company Wood Marketing Services to pay the council $51,000 and MTT $8500. The council sought various enforcement order applications on September 8, 2023, which were granted nearly a year later on August 9, 2024. However, "the issue of costs was reserved," with the court granting leave for the council and MTT to apply for costs. The council sought half of its expenses incurred in its application, which the court rounded up to $51,000. The $51,000 will be split, $38,250 for China Forestry Group NZ and Sun, and $12,750 for Wood Marketing Services. MTT's $8500 will be split, $6000 for China Forestry Group and Sun and $2500 for Wood Marketing Services. The court found that the respondents contributed to the length of the case management process and the hearing, with "WMS's contribution to the length of the process less than CFG in terms of the way it conducted itself at the hearing. Further, it complied with Court directions". ADVERTISEMENT LDR is local body journalism co-funded by RNZ and NZ On Air.
West Australian
20-05-2025
- Business
- West Australian
Shares in online electronics retailer Kogan sink after Mighty Ape tech issues drag earnings
Listed electronics retailer Kogan has warned its New Zealand online business Mighty Ape won't return to profitable trading performance until next financial year as it faces website upgrade headaches. In a trading update on Tuesday, Kogan said Mighty Ape — which sells electronic games, board games, toys, homes and collectables — continued to be impacted by technical challenges following the website platform upgrade announced in February. This affected sales performance and inventory levels, contributing to a 63.7 per cent decline in adjusted earnings to $2.5 million in the four months to the end of April. Kogan shares fell 8.4 per cent to $4.14 in early trade following the update. Shares are off 32.5 per cent for the year so far. But the company said 'early signs of recovery are evident, with gross sales showing positive momentum driven by the Mighty Ape marketplace scaling rapidly since launch'. 'Over the coming months Mighty Ape will continue to right-size inventory levels,' Kogan said. Group revenue decline 0.7 per cent over the four-month period, with the 8.4 per cent growth in Kogan offset by a decline at Mighty Ape. The Ruslan Kogan-led Kogan said group active customers grew 27.3 per cent to 3.4 million as at April 30. Kogan active customers grew 38 per cent to 27 million, while it declined 1.8 per cent to 695,000 at Mighty Ape. Kogan acquired NZ-based Mighty Ape in December 2020 for just over $120m in the hopes of accelerating the group's growth across the Tasman.
1News
14-05-2025
- Business
- 1News
Arrest at airport as IR takes tougher stance on student loan debts
The arrest of a person arriving at the border last month over unpaid student loan debt is an example of Inland Revenue "making up for lost time," one tax expert says. Inland Revenue said at the end of April there were 113,733 people with student loans believed to be based overseas. More than 70% were in default on their loans, owing $2.3 billion, of which more than $1b is penalties and interest. For about 24,000 of these overseas-based borrowers, the debt is more than 15 years old. IR has been taking a tougher line, including arrests at the border as a "measure of last resort". "New Zealand Customs informs us of any border crossings into New Zealand by overseas-based borrowers and airlines provide the travel information to us. We apply to the district court and the police make the actual arrest," IR spokesperson Jane Elley said. "Once arrested and taken before the courts, a judge can order the defaulter to make reasonable efforts to arrange repayment to Inland Revenue." Since July 1 last year, 89 people had been told they could be arrested at the border. Eleven had taken action by either making acceptable payments, entering repayment plans or applying for hardship provisions. "One person was arrested at the border last month and they have since paid off their debt. "There are just over 150 overseas-based borrowers, with a combined default of $15m, who we actively look out for in case they return to New Zealand." Elley said Inland Revenue had collected more than $207 million in repayments since July last year from student loan borrowers living overseas — a 43% increase on the same period the previous year Inland Revenue had an increase in student loan compliance funding in last year's budget. "We've contacted more than 12,000 borrowers, 1320 have entered repayment plans, and 960 people have fully repaid their overdue amounts. They have collectively repaid $9 million," Elley said. She said the department was also looking at borrowers who owned property in New Zealand. There were just over 300, she said. "During the first six months of our increased compliance work they paid up $1.7 million. For defaulters within this group who have refused to engage and resolve their default, further legal enforcement action will be taken which may include NZ-based bankruptcy or charging orders over their properties. "There were also 151 [borrowers] with NZ-based investments, and between July and December last year we received payments totalling $84,000 from some of them. Again, there could be legal action ahead including taking deductions from their investments or bank accounts receiving interest income." Robyn Walker, a tax partner at Deloitte, said it was another example of where IR had been dormant for a while and was now making up for lost time. "In the past there has seemingly been very little effort applied to contacting overseas-based student loan defaulters, and for many of them, they probably were blissfully unaware of mounting repayment liabilities, penalties and interest if Inland Revenue had difficulty contacting them. "We've periodically heard the stories of borrowers being arrested at the border, and its actions like that which can really spur people on to get on top of their obligations. "No one wants to not be able to come back to New Zealand for a special event or family emergency because they're concerned that their student loan will catch-up with them."
