ETNZ and ACE Cleared in America’s Cup Audit

It’s not an America’s Cup unless there’s some controversy. The most recent and serious controversy involved the misappropriation of funds by ETNZ in New Zealand. However, today the Ministry of Business, Innovation and Employment (MBIE), in consultation with host partner Auckland Council, announced it has completed its audit into allegations made against Emirates Team New Zealand Limited (ETNZ) and America’s Cup Event Limited (ACE).

The forensic accountants, Beattie Varley, reported that there was no evidence of financial impropriety or misappropriation of funds. Their report also found that:

• There was no loan from ACE to ETNZ.
• There was no fraud by ACE or ETNZ.
• No personal expenses of Grant Dalton or any other personnel were paid from “Crown monies.”
• There has been no financial impropriety of any nature.

MBIE Chief Executive Carolyn Tremain said, “While it’s excellent to confirm that there has been no financial impropriety and the escalation process has concluded, the Beattie Varley report had raised some concerns around record-keeping relating to several historical matters.”

The process began after MBIE and Auckland Council (as hosts) were made aware of claims relating to the organization of the 36th America’s Cup, which prompted an investigation by Beattie Varley and triggered an escalation process under the Host Venue Agreement.

“It was important to work through the audit process and confirm that there was no financial impropriety or misappropriation of funds,” said Tremain.