Quake rebuild fraud allegations investigated

11:51 am on 20 December 2012

The Earthquake Commission is investigating two allegations of fraud in Christchurch involving overpricing and invoicing for work not done.

The commission's customer services manager Bruce Emson said staff working at the Fletcher EQR Middleton hub played a crucial role in stopping potential fraud and collusion by a Christchurch-based contractor and a quantity surveyor.

Mr Emson said certain patterns in pricing by the contractor had been noticed.

He said it appears most of the money will be able to be recouped, as the commission will probably withhold some payments due to the contractor.