Labour Party leader David Cunliffe admits he has not seen the details of an application by a Chinese company to buy a large farm near Taupo, despite pledging to stop the sale.
Chinese group Shanghai Pengxin has signed a sale and purchase agreement for Lochinver Station. The farm's purchase is still subject to approval by the Overseas Investment Office (OIO) and must then be signed off by two government ministers.
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Mr Cunliffe said if his party was elected to lead in September and the sale had not yet been approved, Labour would block it unless there was solid evidence that overseas ownership would add substantial value to New Zealand, over and above what New Zealand ownership would give.
“We can't in this case think of what that would be. That's why, in a nutshell, we're saying no sale.”
Prime Minister John Key said Labour Party leader is in a dangerous position in prejudging the regulator's decision.
The Government would almost certainly be open to legal action if they prejudged the decision made by the Overseas Investment Office without knowing the facts.”