Thompson and Clark Investigations have been cleared by the police of criminal offending relating to a contractor recording closed meetings between victims of the Christchurch earthquake.
In December, the State Services Commission released a report stating Southern Response - a Government earthquake insurance settlement company - had acted inconsistently with the code of conduct.
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Newshub revealed last March that Southern Response used taxpayer money to get Thompson and Clark to attend several closed meetings held by insurance claimants between 2014 and 2017.
A Thompson and Clark contractor at the meetings recorded them, despite not being a licensed private investigator.
Greater Christchurch Regeneration Minister Megan Woods said in December that the investigators had been hired initially out of concern for Southern Response staff health and safety, but surveillance turned into "a tool for reputation management".
"Covertly attending private claimant meetings and recording closed door conversations without anyone's knowledge are not appropriate ways for Government entities to manage their reputations," she said.
"These actions were wrong, plain and simple. They are unacceptable to me and unacceptable to this government."
A complaint was laid with police by the Commission regarding the potentially unlawful recordings, while another was lodged with the Private Security Personnel Licensing Authority (PSPLA) regarding the use of an unlicensed investigator.
Police investigated the complaint under the Crimes Act and on Thursday announced they had determined Thompson and Clark are clear of criminal offending or any unlawful conduct.
"After thorough consideration of all the information available to the investigation team, police have determined that there was no evidence found of criminal offending or unlawful conduct of any nature," said Assistant Commissioner (investigations) Richard Chambers.
Chambers said the recording of the meeting by the contractor did not constitute unlawful interception of private communications, providing several reasons for this conclusion:
- The conversations recorded were not private as defined under the Crimes Act as there was no reasonable expectation of privacy by any party and consent or knowledge by other meeting participants wasn't needed
- The contractor was a party to communications during the meeting as they were a member of the audience at the meetings who had paid for a ticket to enter as other participants had
- The contractor didn't use a fictitious identity to attend the meeting
- Recordings were made for the purpose of assisting with the preparation of a report and weren't given to Thompson and Clark or Southern Response
- The recordings were made with a visible cellphone on the contractor's lap while other participants were also recording. No copies were made by the contractor
- No other private conversations were recorded.
The PSPLA also didn't find any misconduct under the Private Security Personnel and Private Investigators Act 2010.
Southern Response Earthquake Services was formed to settle claims by failed insurer AMI.
It was one of several Government agencies to hire Thompson and Clark.
Following the release of the State Services Commission's report, Southern Response's chair Ross Butler resigned.
Newshub.