New Zealand Labour Party

Dismissal of plea for fairness is disgraceful

It is disgraceful that National MPs rejected a plea by Grey Power for fair compensation for red zoned former residents of retirement villages, Labour's Senior Citizens spokesperson, Ruth Dyson said today.

The plea in a petition to Parliament from residents of three retirement villages who were forced from their homes following the February 2011 earthquake was today considered by the Finance and Expenditure committee.

“The Government later red zoned the area. Initially, the Minister Gerry Brownlee refused to recognise the villages as residential properties when compiling the government offer. He later changed his mind and said the villages would be treated as residential in the same way as other homes which were red zoned.

“While this news was greeted with relief by residents, the promise was not delivered on. The owners received a government pay-out and took 20 or 30 per cent as a deferred management fee before paying out the rest to the residents.

“These residents have been ripped off and the petition asked for this unfairness to be addressed.

“They deserved fairness and this has been denied by the Government. Today’s decision is further sad news and the residents deserve better,” Ruth Dyson says.