A luxury resort that owes more than $140,000 in damages to former employees coughed up only when a court bailiff came knocking.

Now it faces liquidation and an additional $15,000 bill as court security as it tries to reclaim the payout.

When employee Graham Maheno resigned from Carrington Resort, on the Karikari Peninsula, in November 2021, he expected to receive his final wages and accrued annual leave.

Instead, he received nothing. Resort manager William Tan told him that deductions were taken from his pay to cover the cost of work clothing used on the job and for charges incurred by the late return of a cherry picker hired by Carrington for Maheno to use for some painting work.

Carrington claimed he had not returned it immediately after finishing the job, leading to the extra charges.

After requesting his pay records and receiving no response, Maheno filed a personal grievance with the Employment Relations Authority in March 2022. Despite mediation meetings being scheduled, Carrington Resort took eight months to respond.

When the investigation meeting was finally held in 2023, Tan accused Maheno of sabotage for not returning the hired cherry picker.

The ERA accepted Maheno’s evidence that the cherry picker was returned on time due to the Covid lockdown and assumed the resort could organise its return.

Despite Moheno’s multiple requests for wage records and a compliance order issued from the ERA, Carrington still did not provide documentation. The ERA found this to be a deliberate obstruction.

On August 15 last year, Carrington was ordered to pay a judgment sum of $14,342 to Maheno for lost wages and penalties.

He immediately obtained a warrant to seize property and, despite Carrington raising a challenge to the ERA order, the judgment sum was collected by a court bailiff and released to Maheno in November.

Carrington maintained its stay of execution on the judgment sum was issued before collection. However, Maheno’s advocate, Alex Kerjses, said this was not received until after the bailiff collected the sum.

Carrington submitted that, to ensure fairness, the court should exercise its discretion and order Maheno to repay the judgment sum until the challenge was heard.

Maheno applied for an order that, based on Carrington’s current financial position and possible liquidation by IRD, it should pay $15,000 into a court security account pending the outcome of the hearing.

He submitted that, if he was successful in the next round of proceedings, obtaining any further costs from Carrington would be difficult given its previous conduct.

A public notice placing Carrington Resort into possible liquidation was advertised by Inland Revenue in August 2023. To date, no legal progress appears to have been made by either party.

In a recent decision released by Judge Merepaia King from the Employment Court, multiple concerns were raised about the conduct of the resort so far and any future engagement.

“I accept that Carrington has shown itself as unwilling to comply with orders of the authority. It was only when it was faced with the warrant to seize property that it complied with and paid the amount ordered.

“The payment appears to indicate that Carrington has the ability to pay when required. However, no evidence has been filed from Carrington on its ability to pay, or on the status of the liquidation proceedings.

“Given the evidence before the court in this case, I find the ongoing liquidation proceedings to be credible evidence from which it may reasonably be inferred that Carrington will be unable to pay any costs awarded against it despite its earlier payment of the authority’s awards.”

Carrington Resort was ordered to pay $15,000 into a security account pending the outcome of the challenge hearing.

Kerjses told NZME that he and Maheno were hopeful that proceedings were coming to an end.

“Carrington’s arrogance and inability to take responsibility for their actions has been remarkable,” he said.

Tan did not respond to messages asking for comment.

Carrington Resort has previously been ordered to pay more than $149,000 to several former employees for unfair dismissals and other employment issues:

Shannon Pitman is a Whangārei-based reporter for Open Justice covering courts in the Te Tai Tokerau region. She is of Ngāpuhi/Ngāti Pūkenga descent and has worked in digital media for the past five years. She joined NZME in 2023.