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Gambling—Inquiry into Relationship with Loan Sharks

Wednesday 20 June 2007 Hansard source (external site)

Bradford11. SUE BRADFORD (Green) Link to this
to the Minister of Internal Affairs

Will he call for a full public inquiry into the relationship between loan sharks and gambling in New Zealand; if not, why not?

BarkerHon RICK BARKER (Minister of Internal Affairs) Link to this

Although I have no responsibility for the treatment of loan sharks, and the sometimes questionable behaviour they exhibit, I am concerned with ensuring that gambling operators follow the rules. For example, allegations have been made that loan sharks were preying on gamblers at the Christchurch Casino. I assure the House that the moment officials of the Department of Internal Affairs became aware of those allegations, an investigation was initiated. When the investigation is complete, I expect the Department of Internal Affairs to take the appropriate action, and my own response to that will be informed by the result of the inquiry, and not before.

BradfordSue Bradford Link to this

Why does the Minister think that that will be enough, when loan sharking inside casinos is endemic around the country, not just in Christchurch; when dealers are themselves actually introducing gamblers to loan sharks; and when young women, unable to pay their loans, are working off their debts in brothels owned by loan sharks?

BarkerHon RICK BARKER Link to this

I read with interest the press release put out just hours ago by that member, which makes those allegations. I invite the member to forward those allegations to me, either anonymised or otherwise, and I will have my department and officials investigate them thoroughly. If there is substance to them, action will be taken.

BradfordSue Bradford Link to this

Will the Minister investigate reports that Department of Internal Affairs inspectors are being given free lunches at the Christchurch Casino, and does he think that that may impact on their ability to fully and fairly investigate activities there?

BarkerHon RICK BARKER Link to this

I am aware that those allegations have been made, and I intend to make no comment until an investigation is complete. To do so would prejudice it.

BradfordSue Bradford Link to this

Why does the Minister think that an investigation solely by the Department of Internal Affairs will be sufficient, when the department appears to be so unaware of what is really going on in casinos across the country and when there is an urgent need for affected parties to be able to give full and frank evidence under conditions of anonymity, given the threats of violence and kidnapping that underpin aspects of this loan-sharking industry inside casinos?

BarkerHon RICK BARKER Link to this

The Department of Internal Affairs has monitors that examine every aspect on the floor of a casino. They check all the money that goes in and out of a casino, and have very, very thorough checks. I am confident the department has a good idea of what is going on. As to the member’s allegations, I make my offer again that I would appreciate it if she would forward those allegations to me, anonymised so people are not identified, or she can direct the people to me, and I will arrange an appropriate investigation. This is the first time the matter has been brought to my attention.

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