10 March 2021

Contempt of Court: Spark v. Spud Consulting & Lester

Fines totalling $5000 were imposed on Melbourne-based consultant Mark Lester and his company Spud Consulting for contempt of court following failure to disclose information demanded by Spark in a disputed arbitration.  Spark alleges they overcharged for services provided.

Their dispute went to arbitration, with little result.  Spark claims Mr Lester and Spud Consulting Ltd are withholding information.  It got High Court orders demanding disclosure, again with little result.  Spark wants to see receipts for disputed consultancy expenditure.  Mr Lester says he cannot recall the transactions: ‘they could have been [mortgage payments], buying racehorses or putting funds into a development project as an investment,’ he said.  Mr Lester and Spud Consulting ignored an earlier court order that they pay to Spark its then court costs of some $56,700 incurred seeking disclosure.  Mr Lester said ‘payment’ has been made; $56,700 has been deducted from the amount Spud claims it is owed by Spark.

Justice Jagose fined Mr Lester and Spud Consulting $5000 for contempt of court and repeated the earlier High Court order to disclose required information.  They were ordered to pay interest on Spark’s $56,700 costs not yet paid and further ordered to pay Spark’s full legal costs in getting a contempt of court order.

Spark New Zealand v. Spud Consulting Ltd & Lester – High Court (10.03.21)

21.048