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Waipareira Probe Saves Taxpayer $2m A Year

ACT Leader Hon Richard Prebble said today, that the ACT inquiry into misspending by Waipareira Trust is saving the taxpayer an estimated $2 million a year.

“ACT’s questioning of Government contracts with Waipareira Trust has revealed that the Trust had a policy of diverting 20% of all Government contracts to their own expenditure. ACT estimates that this equated to $2 million per year, which was spent on property development, high salaries, 4WD cars and a writing off of mortgages for a select group.

“The money was the taxpayers and was voted by Parliament to be spent in assisting Maori unemployment, health and welfare in West Auckland and not to be wasted on extravagance.

“What the Serious Fraud Office investigation has established is that diversion of money is not illegal because Government contracting is so loose.

“The completion of the SFO inquiry now clears the way for Parliament to determine how Government departments could enter into such loose contracts.

“The Maori Affairs Select Committee has unanimously agreed the inquiry should now proceed, and it will commence with the three people who Mr Tamihere callously defamed.

“I believe Mr Tamihere’s administration of the Trust will not come out in a good light, so I’m not surprised he wants the inquiry called off.

“All of the money involved is taxpayer money and the taxpayer is entitled to receive an assurance from Parliament that their money is being spent in a cost effective way, and is not being wasted on extravagance,” said Hon Richard Prebble.


ENDS

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