Dame Jenny Shipley to appeal High Court order to pay $6 million over Mainzeal collapse

Dame Jenny Shipley will appeal a High Court decision that ordered her to pay $6 million over the collapse of construction company Mainzeal.

Dame Jenny was New Zealand's first female prime minister, serving from 1997 to 1999. After leaving politics, Dame Jenny in 2004 began serving as board chair of the company Mainzeal.

The company collapsed in 2013, owing creditors $110 million.

On February 26 High Court judge Francis Cooke found the directors had engaged in reckless trading by using money owed to subcontractors to continue operating over several years. The judge found Dame Jenny had acted in good faith and not for personal gain.

Dame Jenny was ordered to pay $6 million as part of a $36 million finding against the directors.

In a statement today a spokesperson says: "Dame Jenny Shipley, Mr Clive Tilby and Mr Peter Gomm, directors of Mainzeal Property and Construction Limited (in liquidation) represented by Chapman Tripp (the Directors), will today file a notice of appeal of the High Court's judgment in relation to Mainzeal."

"The Directors do not agree with the High Court judgment and believe they have strong grounds to challenge the decision."