A roading subcontractor charged by the Serious Fraud Office (SFO) has pleaded guilty to corruptly giving gifts to an agent, totaling $626,000, to secure contracts.
Frederick Pou is one of three subcontractors charged with allegedly paying bribes in exchange for being awarded road maintenance work by former Broadspectrum roading contract manager Jason Koroheke.
Koroheke and former maintenance manager Aurelian Mihai Hossu (also known as Michael Hossu) were also charged in relation to the scheme. Charges against a fourth subcontractor have been withdrawn.
Koroheke, who it is alleged alleged benefited by more than $1 million from the scheme, has pleaded not guilty to the charges. His trial is scheduled to start on July 1. Pou’s sentencing has been scheduled for September 30.
Hossu and Richard Molital were sentenced to home detention after pleading guilty. A third subcontractor, who has name suppression, has also pleaded guilty and will be sentenced in June.
Activity in the manufacturing sector improved slightly in April, according to the BNZ-BusinessNZ Performance of Manufacturing Index.
The index rose from 46.8 in March to 48.9 in April. A reading below 50 indicated contraction in the sector, which it had experienced for 14 consecutive months.
Key sub-index production returned to expansion for the first time since January last year, while employment and finished stocks were also above the 50 level.
However, new orders remained firmly in contraction, while the proportion of negative comments increased to 69%, compared with 65% in March, driven by a lack of sales and orders.
Businesses also highlighted the ‘struggling’ economy following last year’s two technical recessions.
March-quarter GDP data gets released on June 20.
The RBNZ’s February Monetary Policy Statement pencilled in slight growth at the start of the year and did not forecast another recession this year.