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Maharey Funds Another Dodgy North Health Provider

Maharey Funds Another Dodgy Northland Health Provider

Child, Youth and Family has again funded a Northland health organisation that has closed its doors following allegations of poor governance and mismanagement of funds, ACT Social Welfare Spokesman Dr Muriel Newman said today.

"This is the second one this year - did the Government and CYF learn nothing from the first scandal?

"The Kaikohe Disabilities Information and Resource Centre has shut down amid serious allegations of operational irregularities, misappropriated funds and inappropriate travel. These matters have been referred to the criminal investigation branch of Kaikohe police.

"One of the funders appears to have been aware of growing problems at the centre for at least two years, while the Lottery Grants Board have been waiting for accountability reports for over four years.

"I want to know when the Minister responsible for Child, Youth and Family first became aware that funds were being mismanaged - if it was years ago, why didn't he do something, and if it was after the provider closed down last month, why was accountability so lax?

"The debacle over Te Hauora o Te Tai Tokerau seriously undermined confidence in CYF's ability to manage taxpayers' money. The Minister had a responsibility to ensure similar problems did not reoccur. He needs to explain why he appears to have failed in that duty," Dr Newman said.

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