The owner of a bakery in the Bay of Plenty town of Murupara and his company have been convicted, fined and ordered to make emotional harm payments for breaching immigration and employment law in relation to migrant workers.
Ratha Ny, the owner and director of R.S.X Limited – which traded as Bakehouse Café – pleaded guilty and was convicted in March 2025 of four charges of providing false or misleading information to Immigration New Zealand.
The company also pleaded guilty and was convicted of six exploitation charges for serious breaches of employment law, including knowingly underpaying employees below the minimum wage, and failing to correctly pay holiday and related entitlements.
Ny and his company appeared for sentencing in the Rotorua District Court yesterday.
New Zealand Immigration said the court fined the company $150,000 for the six exploitation charges – and ordered it to pay $25,000 in emotional harm reparations, 10,000 each to two victims and $5,000 to a third.
In addition, Ny’s company paid $160,000 in minimum wage arrears to impacted workers prior to sentencing through an agreement met between Ny’s counsel and a legal representative for the Ministry of Business, Innovation and Employment (MBIE).
“Altogether, the financial consequences for R.S.X Limited, including fines, reparations, and minimum wage arrears, amounted to $335,000.”
Ny was sentenced to 10 months home detention on four counts of providing false and misleading information, which included one representative charge.
MBIE general manager of immigration compliance and investigation Steve Watson said exploitation of temporary migrant workers—such as underpayment or excessive working hours—is unacceptable and a clear breach of New Zealand law.
“Exploitation is an issue that affects all of us. As well as affecting migrants directly, it’s detrimental for legitimate businesses which are undercut by these practices, and to New Zealand’s reputation as a fair place to work, live and do business.
“I acknowledge the migrant workers for bringing their case forward and shedding light on the unlawful way in which their employer was treating them.”
Watson highlighted the significance of the emotional harm payments.
“It’s rare for emotional harm payments to be awarded in these cases, so this outcome is a real win for the victims. It sends a strong message that the emotional toll of exploitation is being recognised and taken seriously.”
Exploitation of temporary migrants or those working unlawfully is a criminal offence under Section 351 of the Immigration Act. Conviction can result in imprisonment for up to seven years and/or a fine of up to $100,000.
Watson said this case is a positive example of the growing number of joint compliance investigations being carried out by Immigration Compliance and Investigations and the Labour Inspectorate.
MBIE encouraged anyone who suspects workplace exploitation to report it immediately.