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Immigration scandal: Winston Peters accuses MBIE officials of ‘constructive theft’ from public over failed tech project
NNew Zealand

Immigration scandal: Winston Peters accuses MBIE officials of ‘constructive theft’ from public over failed tech project

  • June 17, 2026

He told Newstalk ZB’s Mike Hosking Breakfast this morning they appeared to be guilty of “constructive theft” rather than incompetence.

“They knew full well that the information for the ministers was so bad they disguised it and kept it from those ministers.”

Asked if misleading and lying to people was a crime, Peters said no, but “stealing their money is – and the taxpayer’s been robbed”.

Challenged on his definition of stealing, Peters said officials “spent money on a hopeless cause without the intent to fulfil it” and he genuinely believed they had committed “constructive theft” – but that was up to a court to decide.

The independent review concluded officials’ reporting to ministers was “inconsistent and, at times, overly optimistic or misleading”, but stopped short of saying officials lied.

A fresh investigation by Sir Brian Roche of the Public Service Commission will consider whether deliberate deception was involved.

Peters also pointed to wider issues with MBIE, the mega-ministry that incorporates Immigration NZ.

MBIE, which was created by National minister Steven Joyce in 2012, was a mistake and was far too big, with a “long history of incompetence”, Peters said.

“It’s covering too many areas and it’s not doing the job competently.”

MBIE’s new chief executive Nic Blakeley has acknowledged the ministry’s governance was ultimately responsible for the project’s failure.

He told Ryan Bridge TODAY the “overwhelming” value of the public service was of integrity, but he wanted to strengthen checks and balances at MBIE and set a culture where staff could speak up about their concerns.

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