Director Ordered To Pay $203k In Fines

Huy Quang Tran faces a $203,469.89 debt after an authority ruled he personally breached employment laws affecting three migrant workers.

Tran served as the sole director of High-End Renov Group Ltd, an Auckland-based firm that supplied painters and plasterers to construction sites in Christchurch and Auckland. The company recruited staff from Vietnam, Tran’s country of birth, before entering liquidation in March 2025. The firm has since been removed from the Companies Register.

The Employment Relations Authority determined that Tran was liable for multiple violations. These included failing to pay minimum wage and holiday entitlements, maintaining inadequate records, and collecting unlawful premiums. The authority found that two of the workers each paid $30,000 in Vietnam to secure their positions. Although the money changed hands abroad, the Ministry of Business, Innovation and Employment stated that New Zealand law applied because the payments related to work performed within the country.

Authority member Robert Davies issued the final order on November 5. The total amount covers $132,291.14 in wage arrears, holiday pay, and returned premiums owed to the three former employees. An additional $71,178.75 serves as a penalty for Tran’s involvement. Davies allocated $6,000 of the penalty to each worker, with the remaining $53,178.75 payable to the Crown.

This decision follows an October ruling by the Employment Court. That court established that overseas payments made to obtain a New Zealand job are illegal. The Wages Protection Act 1983 prohibits charging workers for a job, but prior legal clarity was lacking regarding transactions completed outside the country.

Jeanie Borsboom, acting head of the Labour Inspectorate, said the ruling confirms that directors can be held personally accountable for standards breaches. She noted that all workers in New Zealand, including migrants, are entitled to minimum legal requirements. The Labour Inspectorate stated it will continue investigating allegations of worker exploitation and enforcing actions against employers who profit from vulnerable staff.

The $203,469.89 figure represents the full financial penalty Tran must now pay to the three former employees and the government.