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Audit Office & Speaker approached over Post

Murray McCully National MP for Albany

11 November 2001

Audit Office & Speaker approached over Post

National's Murray McCully says he will be calling on the Auditor General and the Speaker to investigate New Zealand Post after he obtained confidential board minutes which raise serious doubts about NZ Post's decision to proceed with the Kiwibank proposal.

"These papers raise serious questions over how the decision was made to go ahead with the bank. They also cast serious doubt on the truthfulness of assurances given by Post to Parliament's Finance and Expenditure Committee last week.

Represented by NZ Post board chairman Dr Armstrong and its chief executive, Elmar Toime, New Zealand Post told the committee on Wednesday in response to questions from Mr McCully that directors were fully supportive of the Kiwibank proposal.

"The minutes could hardly paint a more different picture," Mr McCully said today.

"A charitable interpretation of the minutes suggest only three directors supported the People's Bank, and even that was only achieved after fairly vigorous musical chairs in the board room by retiring long standing directors and introducing new ones.

"The clear contradiction between the minutes and the assurance to the select committee raises a clear issue of breach of privilege. The Speaker is being approached to look into this matter.

"Clearly there are important governance issues at stake, with directors openly suggesting that the support of the board does not properly exist for the banking proposal," Mr McCully said.

Ends

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