AUCKLAND: American billionaire Paul Kelly has lost the legal battle to build holiday homes on top of an ancient burial cave in New Zealand. The investment banker, who also owns Carrington Club golf course, Carrington Farms Ltd and Carrington Estate Ltd, has been fighting for his plans to be approved, to build homes overlooking Karikari Beach, for more than a decade despite having the backing of the Far North District Council. For the same amount of time the Ngati Kahu iwi (tribe) have been engaged in an ongoing legal battle to stop the building of the homes on top of a large and ancient burial cave. The high legal costs of around $100,000 over the years have resulted in iwi members mortgaging their homes. During the battle the iwi has had support from the Runanga (Maori Council) who have used much of its annual operational budget on the legal battle. The battle has been compared with that of David and Goliath, considering the financial advantages of Kelly. In 2001, the Ngati Kahu, Runanga and the Environmental Defense Society (EDS) made an out of settlement agreement by which Kelly was not to develop within a perimeter of 800 meters from the high water mark which includes the cave. However, in 2007, and without notifying the Runanga or EDS, Kelly's Carrington sought and was granted consent by the local council to build 12 houses right on top of the burial cave. In 2009, when Carrington sought permission to sub-divide the land, the council notified the Ngati Kahu of what was happening. However by then, Carrington had gained permission from the Historic Places Trust, which allowed the destruction of any archaeological findings during the build. The Runanga then appealed to the High Court. Judge J White ruled that the 2001 out of court settlement was legally binding and that Kelly was wrong to have sidestepped the agreement. The Ngati Kahu iwi is extremely happy with the verdict. “Most appreciated of all is the sacrifice of those who mortgaged their homes and donated funds to fight the council and Carrington,” said Te Runanga-a-Iwi o Ngati Kahu chief executive, Anahera Herbert-Graves. BM