The first official recognition of the gang problem in New Zealand prisons came in 1980, following four serious incidents at separate facilities. Surveys have indicated that more than 20 percent of inmates had present or past gang affiliations. A case study of the Auckland Maximum Security Prison (Paremoremo) demonstrates how gang ascendancy destroyed a unique inmate subculture and forced prison management to operate the facility on a unit basis. Using a 1989 prison census, the author examines the level of gang affiliation and compares gang members and unaffiliated inmates on variables including ethnic origin and age, type of offense, length of sentence, previous convictions, custodial experience, and classification status. Gangs members were likely to be younger, requiring medium- or maximum-security classification, convicted of violent offenses, and serving longer sentences. The New Zealand Department of Justice has tried to defuse tension between members of two rival gangs in prison by appointing mediators from both gangs, responsible for maintaining communications, providing liaison with prison management, resolving disputes between the gangs, and informing new prisoners belonging to either gang of the behavior expected of them. 15 notes and 42 references