Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

PM Making Air NZ Decisions on the Run

PM Making Air NZ Decisions on the Run

Wednesday, September 26 2001 Richard Prebble Press Releases -- Commerce


Helen Clark's advice to Air New Zealand shareholders not to sell, puts the government at risk of legal action, ACT leader Richard Prebble says.

"Should the government now not pump money into Air New Zealand, shareholders may well have a legal claim for compensation, for negligent advice," Mr Prebble said.

"The Prime Minister appears now to believe that the government should start bailing out shareholders with taxpayers' money.

"There is clearly a national interest in keeping the planes flying. But why does the government think it has a moral right to spend taxpayers' money helping two Singapore-based companies ' BIL and Singapore Airlines - who between them own 70 percent of the airline and must take some share of the blame for its predicament?

"Maybe the government has had advice that its dithering over previous requests to re-capitalise, which undoubtedly torpedoed the board's plan to save Ansett, may have already legally compromised the Crown's position.

"Ms Clark's statements don't appear to be carefully thought-through. They will create further uncertainty as to who is responsible for the government's decision-making. Legally, the Minister responsible for Air New Zealand is Mark Gosche, the Transport Minister. But he seems to be an ineffective passenger, with his officials sidelined.

"The market had thought the Finance Minister and his office, including former trade union economist Peter Harris, were co-ordinating officials. Dr Cullen issued a statement saying the $550 million package was the limit of the government's involvement and the government would not take up shares.



"But yesterday we had the PM giving assurances to shareholders, and what amounted to a "don't sell" notice.

"The only credible way of interpreting the PM's statement is that the government has rejected putting the airline into statutory management and decided instead to issue a blank cheque, effectively underwriting the present shareholders. My colleague Stephen Franks will comment on serious legal implications.

"The PM's statement reinforces the view that she is making decisions on the run, without the benefit of considered advice. As a former Finance Minister, I'm aware of a strong injunction from officials to Ministers never to give advice to shareholders on their investments," Mr Prebble said.

ENDS

For more information visit ACT online at http://www.act.org.nz or contact the ACT Parliamentary Office at act@parliament.govt.nz.

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Mosque Shooting Response: Ban On Military Style Semi-Automatics And Assault Rifles

Military style semi-automatics and assault rifles will be banned in New Zealand under stronger new gun laws announced today, Prime Minister Jacinda Ardern says... Related parts used to convert these guns into MSSAs are also being banned, along with all high-capacity magazines.

“An amnesty will be put in place for weapons to be handed in, and Cabinet has directed officials to develop a buyback scheme...All semi-automatic weapons used during the terrorist attack on Friday 15 March will be banned." More>>

RNZ Report: No Mention Of Right-Wing Threat In 10 Years Of GCSB/SIS Docs
There is not one specific mention of the threat posed by white supremacists or right-wing nationalism in 10 years of public documents from the Security Intelligence Service or the GCSB. More>>

Two Minute Silence Friday: Auckland Mosques Opening Their Doors To All
Mosques in the four corners of Auckland will open their doors on Friday night for people of all faiths to gather in remembrance of the 50 lives lost in the Christchurch shootings. More>>

SCOOP COVERAGE: CHRISTCHURCH MOSQUES TERROR ATTACK
For the Latest: Scoop Search - Christchurch
 

Gordon Campbell: On The School Climate Strike

Locally, the school strike has won a ton of support for bringing climate change to the fore. Yet the strikers don't want mere expressions of support. They want action. More>>

ALSO:

"Grabbed And Struck In The Face": Greens Co-Leader Attacked While Walking To Work

Green Party co-leader James Shaw was the victim of an unprovoked attack when he was walking to work in Wellington. More>>

ALSO:

████████ ████ ███: Latest OIA Statistics Released

The latest statistics cover 110 agencies that collectively completed 18,106 official information requests between July and December 2018, a 16.4% increase on the 15,551 requests for the previous six months. More>>

ALSO:

'Hit And Run' Inquiry: New Legal Action Over Secrecy

The lawyer representing the Afghan villagers in the inquiry into Operation Burnham has launched legal proceedings calling for a judicial review in the investigation. More>>

ALSO:

From Hydro Plan To...: Mokihinui River Land To Join Kahurangi National Park

A total of 64,400 hectares of conservation land in the Mokihinui River catchment on the West Coast north of Westport, including 15 km of riverbed, is being added to Kahurangi National Park. “Adding this area, roughly half the size of Auckland City, to Kahurangi is the largest addition of land to an existing national park in New Zealand’s history,” Eugenie Sage said. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels