T.E.R:R.A.I.N - Taranaki Educational Resource: Research, Analysis and Information Network

Pholiota squarrosa (Shaggy scalycap)

Kingdom: Fungi
Division: Basidiomycota
Class: Agaricomycetes
Order: Agaricales
Family: Strophariaceae
Genus: Pholiota
Species: P. squarrosa
Binomial name: Pholiota squarrosa
Synonyms: Agaricus squarrosus
Common name: Shaggy scalycap, Shaggy Pholiota, Scaly Pholiota,

Pholiota squarrosa it is often an opportunistic parasite mushroom which has a wide range of hosts among deciduous trees, although it can also infect conifers. It can also live as a saprobe, deriving nutrients from decomposing wood. This mushroom is typically found growing in clusters at the rotting stumps or logs. It occurs summer to late autumn. 

Once thought to be edible, it is now considered and known to be poisonous, especially if consumed in combination with alcohol. The mushroom contains unique chemicals thought to help it infect plants by neutralizing defensive responses employed by them. Ingestion can cause vomiting and diarrhoea.

The cap colour is a yellow/yellowish/light brown or brown and can be either very gelatinous or covered in dark brown scales; initially convex, then becoming flattered >12cm in diameter.
The stem can be > 15cm high, which is long in relation to capsize.
Like the cap, it is covered in small, pointed scales that are pointed downward and backwards
The crowded and adnate gills are first a dirty white then later turn a rust-brown colour.

Thanks to Wikipedia for text and information: https://creativecommons.org/licenses/by-sa/3.0/