Local Democracy Reporting / Auckland Region

Alcohol action group lays complaint over licensing body's chair

21:33 pm on 12 December 2020

An Auckland lawyer's position as a District Licensing Committee (DLC) chairperson has led to a complaint to the Ombudsman due to her previous legal work for clients in the liquor industry.

Photo: RNZ / Nathan McKinnon

The DLC is tasked with considering and granting liquor licences for everything from liquor stores and bars to cafes and nightclubs.

Grant Hewison is the secretary of Communities Against Alcohol Harm, a group set up in 2017 to fight back against the growth of liquor outlets and pokie machines in South Auckland.

He said the group filed a complaint with the Ombudsman on Wednesday after failing to convince the Auckland Council last year that Katia Fraser should be removed from the committee.

Fraser was contacted for this story, but referred questions to the Auckland Council, which said it did not accept there was an issue of bias, either apparent or actual, on her part.

Hewison said the group thought it had no other option but to take further action after its concerns were rejected by the council.

"Communities Against Alcohol Harm raised concerns about Ms Fraser because she has acted for the alcohol industry. On the basis of that and her reappointment this year we felt it was appropriate to raise it with the Ombudsman."

He said under section 193 of the Sale of Liquor Act 2012 the council must not appoint a DLC commissioner if it believes that, due to their involvement with the alcohol industry they can't perform their duties "without actual bias or the appearance of bias".

"Communities Against Alcohol Harm is disappointed with the reappointment of Ms Fraser because of the previous concerns that we raised and we've made a complaint to the Ombudsman so an independent body can review the decision," Hewison said.

Grant Hewison from Communities Against Alcohol Harm wants an independent body to review the role of DLC chairperson Katia Fraser. Photo: LDR / Stuff / Chris Skelton

The group first lodged a complaint with the council in July last year against Fraser's ongoing role on the licensing committee.

In a letter to the former Auckland Council chief executive Stephen Town, Communities Against Alcohol Harm's then chairperson Glenn McCutcheon said Fraser's position was untenable.

McCutcheon said in her capacity as a lawyer Fraser had acted for alcohol industry clients, particularly in the South Island.

"As a consequence, our group and members of our group believe that Ms Fraser has by virtue of her relationship with alcohol industry clients, such an involvement or appearance of involvement with the alcohol industry that she cannot perform her duties without at least the appearance of bias on our part. We ask that her appointment be terminated."

Allegations taken seriously - council

In response, in a letter from September last year, the Auckland Council's general manager of democracy services, Marguerite Delbet, said it took allegations of conflicts of interest very seriously.

"None of the applicants for whom Ms Fraser has acted have had dealings in Auckland, nor have they had commercial partnerships nor franchise links in the Auckland region. They have been stand-alone operators," Delbet said.

"Overall, the council does not accept that there are grounds to revoke Ms Fraser's appointment as chair and member of the Auckland DLC.

"Despite that, the council has however accepted Ms Fraser's offer to accept no further applicant work while serving on the Auckland DLC. In accepting this offer, the council reiterates that it does not accept the assertion made that Ms Fraser's involvement with the alcohol industry to date gives rise to an issue of bias, either apparent or actual, on her part."

Auckland Council's manager of Democracy Services, Marguerite Delbet. (file pic) Photo: Bauer Media

But Communities Against Alcohol Harm refused to accept the council's findings and has now taken its case to the Ombudsman.

Auckland Council general manager of democracy and engagement Kenneth Aiolupotea said it has not yet been contacted about the complaint, but it will assist the Ombudsman's office in any way it can.

"The council reiterates that it does not accept the assertion made that Ms Fraser's involvement with the alcohol industry to date gives rise to an issue of bias, either apparent or actual, on her part."

The Auckland Regional Public Health Service also confirmed it raised concerns with the council last year over Fraser's appointment. In a statement it said: "A letter was sent to Auckland Council in May 2019 expressing Auckland Regional Public Health Service's concern about Ms Fraser's appointment as Chair and member of the Auckland District Licensing Committee.

"The basis of this concern was that by acting as an advocate and legal adviser for alcohol industry clients applying for alcohol licences under the Act, she could not perform her duties as a commissioner without at least the appearance of bias."

Aiolupotea said Fraser was appointed as a DLC chair for Auckland Council in 2013 and was re-appointed in 2017 and again in April this year.

Local Democracy Reporting is a public interest news service supported by RNZ, the News Publishers' Association and NZ on Air.