Commerce Commission issues safety advisory for those with affected equipment
The Commerce Commission has shared that the director of Aero Fire (NZ) Sales & Service Limited admitted to contempt of court after failing to fulfill court enforceable undertakings and a subsequent court order enforcing the undertakings.
Rebecca McAtamney – the commission’s general manager for competition, fair trading, and credit – emphasised that the result signals that the commission expects businesses and directors to abide by such arrangements and go after those who fail to do so.
The commission’s news release provided the context for proceedings. It noted that the director tended to:
The commission noted that the case opened on 21 April 2017. Upon investigation, the commission found that the equipment and services from the director displayed deficiencies, including a failure to meet the applicable standard, a replacement extinguisher that was neither new nor compliant, and an installed extinguisher unsuitable for the intended use.
Charges were laid on 30 August 2018.
In 2020, the company, the director, and his wife jointly faced a $60,000 fine – $30,000 for the company, and $15,000 each for the director and his spouse – for Fair Trading Act 1986 breaches, specifically false or misleading representations about the installation, servicing, and maintenance of fire extinguishers and the need for such services.
On 19 March 2020, they signed enforceable undertakings. They agreed to remove Aero Fire from the Companies Register and to refrain from knowingly supplying fire safety equipment or offering services related to such equipment.
The commission then saw evidence indicating non-compliance. In 2023, the District Court of New Zealand ordered compliance with the undertakings.
In 2024, the commission’s investigators found additional evidence indicating continued non-compliance, to which the director admitted.
“We take a dim view of such flagrant disregard for agreed enforceable undertakings,” McAtamney said in the commission’s news release.
As the director’s personal circumstances led to the adjournment of the proceedings against him and the delay of his sentencing, the commission released a safety advisory urging those with fire equipment obtained from or serviced by him to verify that the equipment is:
“The possible safety risks resulting from Mr Singh's conduct means it is crucial businesses who have had dealings with him check their equipment,” McAtamney said in the news release.