SFO wine boss kick-back trial delayed

Peter Scutts shown here in a file photo from 2008. Photo by NZ Herald
Peter Scutts shown here in a file photo from 2008. Photo by NZ Herald
The Serious Fraud Office trial against former New Zealand Wine Company chief executive Peter Scutts has been delayed because of key defence witness having surgery.

Scutts, in his late 50s, has been charged with 16 Crimes Act charges of dishonestly using a document and one Secret Commission Act charge of receiving secret reward for procuring contracts, the SFO said last year.

"In March 2011, NZWC entered into an arrangement to supply wine to an Australian based wine wholesaler. SFO alleges that while in the role of CEO for the NZWC, Mr Scutts also received payments from the same wholesaler based on the volume of wine sold by NZWC. SFO alleges that the NZWC Board had no knowledge of Mr Scutts' receipt of their fees. The payments invoiced amount to approximately NZ$64,000," the SFO said when laying charges against Scutts.

NZ Wine Company, whose stable included Grove Mill, Sanctuary and Frog Haven brands, merged with Foley Family Wines in September 2012 after shareholders agreed to California-based billionaire Bill Foley taking an 80 per cent stake in the company.

Scutts' 10-day trial was due to take place on November 3 but this morning his Queen's Counsel, John Billington, applied for an adjournment.

The reason, according to Justice Graham Lang, was that a key defence witness is shortly due to undergo surgery and his rehabilitation won't permit him to give evidence during that time.

The judge granted the adjournment application, which was not opposed by the SFO.

Justice Lang pencilled in the trial to begin next April, provided the "resolution" of a separate case which would free up the court schedule.

By Hamish Fletcher of the New Zealand Herald

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