The Herald this week reported the franchise had been placed in liquidation, as the team headed to Canberra for their final game on Saturday.
A first liquidator’s report was expected early next week and the team’s debts were likely to heavily outweigh assets. The debts include a Crown loan of $2.75m.
Mitchell said he hadn’t discussed whether the Government would invest more money or write off the loan.
Mitchell couldn’t say how likely it was the Government could recover the loan.
“I don’t know, I’d have to wait for that advice to come back to me.”
Yesterday, Peters – the Foreign Affairs Minister – told reporters they would have to wait for “good news” about the franchise.
“Of course, I’d love to see them carry on, because the reality is they’ve got a great future, but they’ve gone through difficult times.”
It’s understood Peters was in conversations with people connected to the franchise to explore options. It’s understood no imminent announcement is coming from the Government, which is set to unveil its annual Budget tomorrow.
Mitchell today said he wasn’t aware what Peters was referring to and hadn’t asked him.
“I’m sure that he will let us know in due course.”
Peters today referred to a “proposal” that was being assessed. He indicated it could be a funding agreement between the Government and private entities.
“We’re trying to find out who else is engaged, who’ll be part of it, and when we get that together, we’ll be able to make an announcement.”
He wouldn’t speculate on the extent of any further Government funding: “It could be peanuts for a great outcome.”
Adam Pearse is the Deputy Political Editor and part of the NZ Herald’s Press Gallery team based at Parliament in Wellington. He has worked for NZME since 2018, reporting for the Northern Advocate in Whangārei and the Herald in Auckland.