Former iwi social services CEO found guilty of fraud

8 June 2011

Arapeta Victor Hamilton, a former Director and Chief Executive of Ngapuhi Iwi Social Services Limited (NISS), has today been found guilty of five counts of fraud following charges brought by the Serious Fraud Office (SFO).

NISS was a Northland company set up to deliver services to Maori children through government and community funded contracts, from 1997 to 2006. Hamilton was appointed a Director to the company in October 2000.

During that time, Mr Hamilton was found to have fraudulently diverted NISS funds totalling approximately $147,500 to cover personal expenses, including mortgage repayments and investments in a nightclub.

SFO Chief Executive Adam Feeley said that Mr Hamilton’s actions were a violation of his trusted position within both NISS and the community.

“Mr Hamilton took advantage of his position for personal financial gain and, in doing so, has defrauded the organisation of valuable funds intended to enhance the local community. The guilty verdict in this case is a positive outcome and we hope it will provide some justice for those affected by Mr Hamilton’s actions.”

“This case highlights the need to have effective fraud prevention policies which have particular regard to the trust and authority conferred on key persons within their organisation,” Mr Feeley said.

Mr Hamilton is due to be sentenced on 3rd August 2011.

ENDS

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