A former Open Country Dairy executive has been sentenced to 12 months home detention after accepting nearly $320,000 in gifts from an overseas customer.
Open Country Dairy group market manager Simon Stewart received the money from Indonesian-based customer Anta Tirta Kirana in exchange for information and advice relating to the sales of dairy products.
Stewart revealed information about sensitive business that influenced pricing negotiations and dealings between Open Country Dairy and Anta Tirta Kirana.
In July, he pleaded guilty to one charge of accepting a gift by an agent under section four of the Secret Commissions Act.
There were 27 bank transactions made by Anta Tirta Kirana to Stewart between April 1, 2019 and October 10 2023, each ranging between $6980 and $22,767.
Stewart also received the NZ equivalent of $43,000 in foreign cash.
Largely owned by Talley's Food Group, Open Country Dairy is NZ's second-largest milk processor and the world's second-largest whole milk powder exporter.
Serious Fraud Office director Karen Change said Stewart's actions could have potentially impacted New Zealand's dairy industry.
“The dairy industry is a vital part of the New Zealand economy, and Mr Stewart’s conduct had the potential to undermine confidence in this important sector,” Change said.
“It is essential that those who engage in corrupt practices are held to account, particularly when their actions risk impacting the integrity and reputation of a key sector.”
Stewart was sentenced at Manukau District Court on Thursday, and was ordered to pay $250,000 in reparation.
The case was initially referred to the Serious Fraud Office in December 2023 after an Open Country Dairy internal investigation.
The Serious Fraud Office thanked and acknowledged Open Country Dairy for their assistance and cooperation during the investigation.
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