A construction company could face a $3 million fine for misrepresenting seismic standards on materials it used.
Photo: Supplied
Commerce Commission lawyer John Dixon QC told the Auckland District Court in a hearing that Steel & Tube misrepresented the seismic standards of steel mesh it used.
The company failed to test the mesh according to four tests so deserved a fine of about $3 million, he said.
Steel & Tube's share price dropped from $2.63 in July 2017 to $1.62 today.
Mr Dixon said even taking into account the company's cooperation and early guilty plea, the fine should be between $2.7m and $3.3m.
Steel & Tube lawyer Mike Heron QC said such a fine was without precedent as it was triple what any other court had imposed for similar offences.
Steel & Tube chief executive Dave Taylor left the company in September.
The judge has reserved their decision until next week.