Tainui claim halts sale

Press, 18 March 1989, Page 8

Tainui claim halts sale

By

OLIVER RIDDELL

in Wellington

The High Court claim by the Tainui tribe over Coal Corporation land in the Waikato has obliged the Government to halt its sale of the corporation. A High Court hearing yesterday afternoon in Wellington resulted in the Court approving a joint request by the Tainui and the Crown. This request was for the issues involved to be the subject of a very strict timetable with a view to an urgent hearing to be sought from the High Court. As a result, the Government has decided on a temporary delay in accepting final bids, including some from overseas, for the purchase of the Coal Corporation. The Acting Minister for State-Owned Enterprises, Mr Caygill, said this decision had been taken “in the light of the legal action being taken by the Tainui people.” The Government was

very aware that the integrity of the sales -process could be preserved, only if legal uncertainties arising from the Tainui action were resolved, before the Government entered into final discussions with the interested parties.

He said the Government was also concerned that the relative positions of the large number of interested parties be protected absolutely in the run-up to final negotiations. “We have requested that interested parties refrain from submitting their bids until the legal action has been resolved,” Mr Caygill said. But the Government remained fully committed to the sale of Coalcorp and looked forward to having the Tainui claims resolved. Interested parties would be informed of the revised timetable for the submission of final bids at the completion of the legal proceedings, he said.