Former Kāinga Ora official and three others face charges for $4.2 million in alleged bribes

Four people, including a former Kāinga Ora official, who worked on two Auckland housing projects have been charged in relation to more than $4.2 million in alleged bribe payments.

The Serious Fraud Office has charged the former Kāinga Ora official, a former Tāmaki Regeneration Company (TRC) official, and two construction company owners with corruption and bribery of an official in relation to government-funded contracts worth more than $26.3 million.

TRC was established by the government and Auckland Council to facilitate the regeneration of Tāmaki in Auckland, with Kāinga Ora supporting the government-owned entity with procurement for builders and developers, and ongoing project management and delivery support.

Two housing projects and a minor works project, awarded and delivered between March 2020 and March 2024, were used to allegedly funnel the bribes.

The former Kāinga Ora official and the two construction company owners involved in the projects communicated extensively about the alleged arrangement using WeChat and Gmail.  Some of the group’s communications allegedly showed project invoices were adjusted to inflate the amount due to be paid. The adjusted invoices were then allegedly submitted to Kāinga Ora and TRC for processing.

The construction company owners allegedly bribed the former Kāinga Ora official with more than $2.6 million through 46 payments into five different bank accounts, and more than $507,000 in credits for the construction of a family home.

An additional $1 million in bribes was allegedly allocated to the former TRC official; however, the former Kāinga Ora official allegedly retained more than $900,000 in payments, with the TRC official allegedly receiving $171,250 in payments and gifts.

“This case involves contracts worth millions of dollars to provide new homes in Auckland neighborhoods, for the benefit of our communities. The people overseeing these projects are expected to act with integrity,” SFO Director Karen Chang said.

“The building of our homes should not be taken lightly. This case goes beyond financial loss. The alleged diversion of government funds means funds don’t go where they should, potentially impacting people’s wellbeing and access to housing and services, while eroding trust in our public institutions.”

The first scheduled court appearance for the four people charged is 21 January 2027.

The SFO acknowledges Kāinga Ora and TRC for assisting during the investigation.