17 Dec 2009

Fraudster admits receiving kickbacks

3:56 pm on 17 December 2009

A man who defrauded the Otago District Health Board of $17 million has admitted corruptly accepting more than $750,000 during his role as the board's IT manager.

At the High Court in Dunedin on Thursday, Michael Swann admitted receiving kickbacks between 2000 - 2006, in return for awarding the board's helpdesk contracts to a friend.

That friend, Dunedin businessman Robin Sew Hoy, was last month sentenced to home detention for two years for paying Swann more than $750,000 to secure contracts worth more than $4 million.

The money was paid in 85 installments and represented $25 for each hour of work that Sew Hoy completed for the board.

Swann will be sentenced in February.

He is currently serving a prison sentence of 9.5 years for defrauding the health board of $17 million; a crime he committed with a Queenstown surveyor, Kerry Harford.