Staff in open rebellion at Heart of the City, board claims
Friday, 19 June 2026
Heart of the City’s funding from Auckland Council may be at risk as a power struggle between its board and supporters of the chief executive intensifies.
The Post reported that on Wednesday that a group of more than 100 businesses served a petition seeking to force the board to stand down and hold an election for its replacement.
It follows the committee having stood down chief executive Viv Beck before being ordered by the Employment Relations Authority to reinstate her, pending the outcome of a review.
At the centre of the stoush are questions over the accuracy of a membership register Heart of the City is legally required to keep ‒ and who is eligible to lead the organisation.
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A spokesperson for the board told The Post it had been trying to liaise with businesses in order to update membership details, but it appears Heart of the City staff are in open rebellion.
“The board's efforts to send these communications have been blocked, repeatedly,” a spokesperson said.
It’s understood that this has created a concerning situation for members of the board who believe it leaves them exposed to personal liability.
“The board is considering its next steps, as non-compliance is not an option,” the spokesperson said.
The spokesperson noted that non-compliance was an offence under the Incorporated Societies Act and presented “governance concerns”.
In the face of an attempted coup by disgruntled business, the board has taken the drastic option of reporting itself to Auckland Council.
“In line with its obligations, HOTC has notified its funder of the current governance issues,” it said.
It’s understood that the council has now given Heart of the City a deadline to become compliant.
At risk is the targeted rate funds collected by council from businesses and given to Heart of the City in exchange for fulfilling its obligations under the Business Improvement District (BID) contract.
The Heart of the City board, meanwhile, will have to answer the petition presented by 5% of its membership ‒ a threshold required to force a Special General Meeting (SGM).
A resolution has been put forward by Steve Bielby of the Auckland Notable Properties Trust calling for an election of a new board by July 17.
The document cites “a loss of confidence” over membership issues and the board’s “conduct”.
The board told The Post that even prior to the petition it had resolved to proactively hold a special general meeting (SGM), but it had itself been stymied by a lack of a coherent membership record.
“The board unanimously voted to bring its membership register into compliance, so that a legitimate SGM can be held,” it said.
It said it had a law firm conduct a review which found that the membership register appeared to be in breach of the Incorporated Societies Act and the constitution.
“And it appeared to have been the case for a number of years,” a spokesperson said.
“HOTC had likely been relying on a database more akin to a marketing CMS.
“The database itself did not present an accurate reflection of who is a member and what their status is.”
However, it maintains that the current board membership is “properly constituted”.
“Unfortunately, erroneous information held in the current database means that Mr Bielby’s petition is based on incorrect information about the membership status of board members.
“As a result, the information he has provided to the signatories about the board, in order to collect signatures, is also based on incorrect information.”