Oranga Tamariki is being ordered to pay more than $100,000 after trying to remove a Māori child from her Pākehā foster parents.

The agency didn't think they could meet her cultural needs.

Family Court Judge Peter Callinicos slammed Oranga Tamariki for putting ideology ahead of a child’s best interests.

Children's Minister Karen Chhour says the case highlights why she fought to repeal section 7AA of the Oranga Tamariki Act.

"This just shows what this means in practice - and it's absolutely devastating for everybody involved."

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