Former MP John Tamihere is being chased in court for $500,000 which an old friend loaned him to buy a house.
Mr Tamihere, who wants to be reelected to parliament at the next election, did not appear at Auckland High Court today where a summary judgment against him was sought.
The application was brought by West Harbour Holdings, whose sole director and former shareholder Brent Ivil is understood to have personally loaned Mr Tamihere $500,000 in 2008.
The loan is understood to have helped Mr Tamihere, who is a former Labour minister for small business, to buy a house in Te Atatu, west Auckland. The money has not been repaid and Mr Ivil is claiming it back, plus $200,000 interest accrued since 2008.
Mr Tamihere is arguing he only owes $290,000 – the balance after a previous loan he made to Mr Ivil for $210,000 is set off against it.
Justice Pamela Andrews also needs to deal with a disagreement between the parties over who Mr Tamihere's debt is owed to. He wants to repay Mr Ivil, but Mr Ivil wants it repaid to his property development company West Harbour Holdings, which was placed in voluntary liquidation last month.
A much bigger legal wrangle between the two parties was struck out by Justice Geoff Venning earlier this month.
That is understood to relate to their failed multi-million dollar joint venture to create a boutique hotel on the West Park Marina in Hobsonville.
Mr Tamihere is the chief executive of social work agency Waipareira Trust and a talkshow host on Radio Live.
Justice Andrews reserved her decision.
Georgina Bond
Wed, 20 Mar 2013
Wed, 20 Mar 2013
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John Tamihere sued over home loan debt to former friend
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