COMPLAINTS POLICE STILL WORKING

TWO police officers who were found by a High Court jury in a civil
case more than three years ago to have fabricated evidence in a drug
case and then lied about it on oath are working on front-line duties.

An investigation into what the police call "allegations of perjury and
defeating the course of justice" continues. The latest move is the
appointment of Christchurch-based Detective Superintendent Jim Millar
to investigate the case, which involved an undercover officer and his
supervisor. This appointment follows a direction to the police by
Judge Ian Borrin of the Police Complaints Authority for the job to be
given to an independent senior officer.

Judge Borrin said he had told the police it was important the
investigation be led by an officer who had "no personal or
professional history of their own with this entire chapter of events".

This has been ridiculed by a spokesman for a group of former
undercover officers, who said the case centred on agents' use of
cannabis. "All senior police support the present policy that allows
officers to smoke while under cover, so how can they be completely
uninvolved," the spokesman, whose identity is protected by a court
order, said.

The ongoing investigation has been criticised by Donald Stevens,
lawyer for Dannevirke freezing worker Craig Withey whose 1998 civil
claim against the police of malicious prosecution resulted in the
jury's findings. Dr Stevens said it was taking "far too long" to bring
finality to the case. "The jury's findings have serious and grave
implications for law enforcement and deserved a prompt investigation.
This dilatory approach does not reflect that seriousness."

Investigations into the case have been going on since the trial ended,
first in a two-year review for police by Wellington Queen's Counsel
John Upton, then in a six-month internal inquiry by police
headquarters-based Detective Superintendent Larry Reid. In May, police
handed all their files to the complaints authority for review.

Judge Borrin said more work still needed to be done. "We want to be
sure we have all the significant facts. There are aspects that ought
to be further looked at, but I cannot guess whether that will be
fruitful one way or the other."

The officers are an undercover agent, who went by the name of Malcolm
McKenzie for eight months while he gathered evidence of drug dealing
by Hawke's Bay Mongrel Mob and Black Power gangs in 1993 and 1994, and
his supervisor, Napier Detective Keith Price.

The undercover officer now works under his real name and has been
promoted since the trial ended. Mr Price's involvement continues to
haunt him -- the integrity of Napier police evidence was questioned by
the defence during a recent drugs trial he was a witness in. Police
said both officers would remain in their present duties while the
investigation continued.

The two officers were called to give evidence during the 1998 civil
case brought by Mr Withey, one of the people arrested during the
1993-94 undercover operation.

A charge against him of manufacturing cannabis oil was dropped shortly
before it was due to go to trial in 1995. At the end of the three-week
civil trial, the jury found that the two officers had charged Mr
Withey knowing they had the wrong man. They had changed an evidential
statement describing a man at a drug deal to fit that of Mr Withey and
then lied about it in court, the jury said.

The case remained in the courts for another 13 months because of
arguments about whether the officers were motivated by malice.

The Court of Appeal ordered a new trial but before it began, an
out-of-court settlement was reached in April last year.

Lawyers for both sides would not reveal details, though Mr Withey, who
had asked for $850,000, is believed to have received a compensation
payment.