Feeley to be cautioned but no further action

State services commissioner Iain Rennie will caution Serious Fraud Office director Adam Feeley over his recent behaviour but no other action will be taken.

Police Minister Judith Collins asked the Commissioner to investigate Mr Feeley's action at two SFO gatherings in 2010. One involved Mr Feeley toasting charges being laid against Bridgecorp directors Rod Petricevic, Rob Roest, Gary Urwin and Peter Steigrad with a bottle of the finance company’s champagne. While a second incident saw Mr Feeley award a copy of Allan Hubbard’s biography A Man Out of Time as a “booby prize” at an SFO Christmas raffle. Mr Hubbard was, until his recent death, being investigated by the SFO.

In a statement on the investigation today, Mr Rennie said: “The first matter relates to a staff gathering and the consumption of wine in May 2010. Recognising staff achievement is reasonable but by making the association with Bridgecorp explicit in an email to staff and introducing a bottle of wine that had Bridgecorp origins was ill-advised and demonstrated a lapse of judgement on this occasion.

“In respect to any question around ownership of the bottle of wine, I am not aware of any evidence that would suggest Mr Feeley acted with dishonest intent.

Mr Rennie said Mr Feeley has apologised to Ms Collins for embarrassment.

“The second matter involves the handing out of copies of Mr Allan Hubbard’s biography at a prize-giving as part of a staff Christmas gathering in December 2010. Mr Feeley has advised me that a range of books with a business and leadership focus were distributed to staff at the time as recognition of their achievement. Mr Allan Hubbard’s biography was amongst the books presented," Mr Rennie said.

“In this instance I find that Mr Feeley took an unnecessary risk in choosing a book where the selection of it could be interpreted as inappropriate. Mr Feeley is an effective chief executive and leader of the Serious Fraud Office and under his leadership, the performance of the Office has been significantly strengthened.

“I intend to discuss with Mr Feeley my expectations of his behaviour as a chief executive and to caution him to take care in all he does as his actions will always be open to scrutiny and interpretation."

“I have decided that no further action is necessary,” Mr Rennie concluded.