John Banks (New Zealand Politician) - Campaign Donation Controversy

Campaign Donation Controversy

In April 2012, TV3 alleged that Banks had asked Kim Dotcom, the founder of Megaupload, for and received a campaign donation of $50,000 that was later declared as anonymous. TV3's John Campbell alleged that Banks had asked for a $50 000 donation to be broken into two donations of $25 000, which were then reported as anonymous donations, instead of naming Kim Dotcom as the donor as required by the Electoral Finance Act 2007. Dotcom told the New Zealand Herald and TV3's Campbell Live program that the cheques were written out in the presence of Banks, and Banks called him a few days later to thank him. He produced emails which seemed to verify his chain of events. This followed a similar accusation, where Banks was alleged to have failed to name a donation from Skycity Entertainment Group, to the value of $15 000. A complaint was made to the Electoral Commission, and was subsequently investigated by the Police.

On Thursday, July 26 2012, Assistant Commissioner Malcolm Burgess announced that after an extensive inquiry by the Auckland police, there was insufficient evidence to prosecute Banks. Alexander Gillespie, Professor of Law at Waikato University, described Bank's behaviour as "outrageous" and said the fact that he was not charged did not mean he was not guilty. Gillespie said New Zealand must adopt a code of conduct for parliamentarians to reduce the risk of corruption and to increase accountability.

A poll in October, 2012, found the New Zealand public had a more favourable view of Dotcom than Banks.