Manipulated crime figures were a misunderstanding and the officers involved have been made accountable for their actions, the police say.
An internal police report shows five officers in Counties Manukau reclassified about 700 burglaries as lesser incidents, Radio New Zealand says.
Counties Manukau Police District Commander Superintendent John Tims said an audit had been put in place, and the police were taking the incident seriously. He denied there was an attempt to try and make crime numbers look better.
Acting Police Minister Judith Collins said it was an isolated incident by individuals trying to make themselves look better.
New Zealand First leader Winston Peters said criminal lawyers had told him the police were letting people off with a warning, instead of charging them, to keep the statistics down.
The claims echoed those made by Labour last week, suggesting police were laying fewer charges to meet the Government's targets for reducing crime.