Delta Utilities has pulled the plug on a $100,000 seating package at the Forsyth Barr Stadium in Dunedin, a matter described as being the result of actions of an "overzealous" executive.
The withdrawal from the package meant a loss of projected income for the company running the stadium, Dunedin Venues Management Ltd (DVML), of $100,000 over a 10-year period.
However, the seating package would be available for another purchaser, the company said this week.
The issue became public at a Dunedin City Council finance, strategy and development meeting on Monday, when Cr Jinty MacTavish asked DVML chief executive David Davies about a line in the latest report on private sector funding - money being raised through the sale of seating packages and sponsorship - that read "potential loss of Delta".
Mr Davies told her he had been told by Delta chief executive Grady Cameron the matter was due to an "overzealous" executive at the Dunedin City Council-owned company.
The contract, which had been reported as having been sold, had been taken off the total for private sector funding, Mr Davies said.
"Those seats are now available for someone else."
DVML commercial manager Guy Hedderwick said last night Delta still had a corporate suite at the stadium.
Mr Cameron said last night the issue related to a contract negotiated more than two years ago, by a past employee. There was an agreement for a 10-table lounge but the two companies had mutually agreed to withdraw from that part of the contract.
Mr Cameron told the Otago Daily Times last year, when asked about the seating packages it had at the stadium, the company was "committed to supporting the Otago Rugby Football Union and the ITM Cup team".
As part of its support Delta had a corporate box at Carisbrook, as well as "back of jersey" sponsorship of the Otago team for the past three years.
The company also sponsored Otago junior rugby. The company had provided services including electrical work, ground and building maintenance, lighting and drainage on a commercial basis.
