A former roading contract manager has been jailed after he orchestrated fraudulent schemes and accepted more than $1 million in gifts over maintenance contracts in south Auckland.
Jason Koroheke was sentenced to four years and five months in jail at the Auckland District Court earlier today. In July, he pleaded guilty to three charges of obtaining by deception and 14 charges of acceptance of gifts by agent between 2015 and 2018
The court heard the former Broadspectrum manager was the architect of several schemes where he accepted gifts in exchange for awarding work, and submitted false invoices to obtain significant benefits for himself, the Serious Fraud Office (SFO) said.
SFO director Karen Chang said Koroheke reduced resources for essential services.
“This case underscores the significant consequences of placing too much trust in a senior employee and the misuse of a position of power,” she said.
“The actions of Mr Koroheke not only broke the law but also diverted public funds, reducing resources available for essential services which in this case were for road maintenance.
“We were able to uncover this wrongdoing thanks to a brave tip-off from a subcontractor, emphasising the importance of speaking up against fraud and corruption.
“This case is also a reminder of the need for robust internal controls and vigilance.”
According to the SFO, the court heard subcontractors submitted invoices to Broadspectrum, both real and false, which Koroheke authorised.
“Once Broadspectrum paid the subcontractors, they used this money to provide gifts to Mr Koroheke in the form of cash, goods or services worth over $1 million.”
Three subcontractors — Frederick Pou, Richard Motilal, and Brian Ravening — along with former Broadspectrum maintenance manager Aurelian Mihai Hossu were also charged in relation to the schemes.
Ravening was sentenced to 12 months’ home detention in June and made a $300,000 reparation payment after pleading guilty to deception charges involving $631,000 and corruptly giving gifts worth approximately $615,000.
Motilal received nine months’ home detention and was ordered to pay $25,000 in reparation, while Hossu was sentenced to 11 months’ home detention and made a $90,000 reparation payment in June 2022.
The final sentencing in the case was scheduled for next year, involving Pou, who pleaded guilty to corruptly giving gifts to an agent totalling $626,000 to secure contracts.
He would be sentenced in the Auckland District Court on January 17.
