Photo: RNZ / Rebekah Parsons-King
A man convicted of money laundering in the United States has lost his bid to have his case reassessed in relation to the forfeiture of more than $10 million in his New Zealand bank accounts.
David Rae has served a jail term in the US after pleading guilty to committing international money laundering in connection with two Medicare fraud schemes.
The Commissioner of Police has applied for a High Court order for his New Zealand funds to be forfeited because it alleges they are connected with those schemes.
Rae sought to challenge the application in the High Court and when this was refused, went to the Court of Appeal arguing that he no longer believes he was guilty of the US charges as well as seeking the admission of a range of documents used in his case.
He argued he was unaware of the underlying criminality of the schemes. He also sought a discovery order for testimony, documents and other evidence provided to a grand jury as well as other documents relating to the investigation.
In the High Court Justice Grice concluded the documents sought were not "material and necessary" and therefore did not meet the test for non-party discovery.
Rae also argued that the Police Commissioner had acted in bad faith - a claim Justice Grice had called "a fishing expedition".
The Court of Appeal agreed, rejecting his arguments saying that they were flawed and incorrect and no further delay in the hearing about a forfeiture order of his funds was justified.
"In conclusion, it is our view that the proposed grounds of appeal do not identify any error capable of bona fide or serious argument, let alone one of general or public importance. Rather, the proposed appeal appears to largely be an attempt to relitigate the Judge's factual evaluation," the judgement said.
The forfeiture application is due to be heard in May.
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