Statement of Contingent Liabilities and Assets

As at 30 June 2015

Quantifiable Contingent Liabilities And Assets

2014 Actual $000

 

2015 Actual $000

1,477

Legal proceedings

1,799

360

Personal grievances

250

1,837

Total quantifiable contingent liabilities

2,049

5,800

Insurance proceeds

800

5,800

Total quantifiable contingent assets

800

Quantifiable contingent liabilities

Legal proceedings

The department was defending 40 legal claims by prisoners as at 30 June 2015 (2014: 40). They cover a range of areas, including breach of the New Zealand Bill of Rights Act 1990, seeking compensation or other redress for perceived/alleged instances of wrongful action or decision making by the department and individuals.

Personal grievances

The department was defending seven employment related claims made by staff members as at 30 June 2015 (2014: 10).

Quantifiable contingent assets

Insurance proceeds

During the year the department recognised $4.5 million of insurance proceeds relating to the 2013 Spring Hill Corrections Facility riot ($1.2 million) and the 2012 Christchurch earthquake ($3.3 million).

The department has one remaining quantifiable contingent asset relating to insurance claims for the damage caused by the riot at the Spring Hill Corrections Facility. Final settlement was still being negotiated as at 30 June 2015.

The accompanying notes form part of these financial statements.

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