Mipad Holdings director Lew Gdanitz is building a $10million, 54-room hotel in Henry St, next to Queenstown Playcentre.
His contractors built a fence on playcentre land which, he said, was to protect children during construction.
Mr Gdanitz claimed the ministry made legal threats, verbally and in writing.
The ministry's official response is that it was not considering a judicial review ‘‘at this stage''.
Ministry infrastructure manager Jerome Sheppard said it would take any action it considered necessary to ‘‘support the playcentre and to ensure the safety of their children''.
However, that line contradicts an email sent from ministry staffer Wayne Tacon to Gdanitz and shared with Mountain Scene.
Mr Tacon wrote on February 23: ‘‘We also reserve the right to initiate an action under the Fencing Act to cover your actions to date in removing the common boundary fence and to seek a judicial review of the council's decision not to notify the consent. This could also lead to an application for an interim injunction.''
Mr Sheppard said the temporary fence erected by Mipad's contractors did not adequately protect children using the playground. Mr Gdanitz said child safety was not a game and ‘‘this is what they are turning this into''.
‘‘I don't know what it's trying to achieve.
‘‘We tried to put up a barrier to keep children away from the building site. What do they want? Is it more money?''
Mipad Holdings originally offered $5000 for occupying the land, which was rejected. The playcentre demanded $32,000 as compensation.
-Louise Scott
