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


Grant for bankrupt a sorry tale

Judith Collins MP National Party Welfare Spokeswoman

04 March 2008

Grant for bankrupt and 'lost' paper trail a sorry tale

Ruth Dyson needs to explain why her ministry gave close to $50,000 to an undischarged bankrupt who was later jailed for fraud relating to false grant applications, and why MSD has lost significant files relating to the case, says National's Welfare spokeswoman, Judith Collins.

Ms Collins is referring to the case of Graham Carden, who was given $36,000 to train 12 beneficiaries in karaoke, and $12,714 in wage subsidies in respect of two beneficiaries.

"Carden had already been declared bankrupt two years before, and had subsequently pleaded guilty to two charges of trading while insolvent. He went on to be jailed for fraud relating to false grant applications.

"Surely, if MSD was doing its job properly, alarm bells would have rung and Carden would not have benefited from taxpayer money for what turned out to be a dodgy course.

"Minister Dyson needs to explain why her staff are not required to check bankruptcy notices before they award wage or training subsidies. When I asked her in Parliament today why Work and Income would award wage subsidies to an undischarged bankrupt she didn't even try to offer an explanation.

"This raises serious questions about MSD's system for awarding contracts. The Government has spent more than $300 million on Job Plus subsidies since 1999. The taxpayer has a right to expect these schemes are properly monitored.

"Equally concerning is the disappearance of the paper trail in relation to this contract. The CEO of MSD, Peter Hughes, has informed me that every single client record in relation to this contract can now not be found.

"This sorry tale about inappropriate use of taxpayer money and slack record-keeping should never have been allowed to occur. Ruth Dyson needs to get her house in order."


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Another Leader Exiting: Statement From Peter Dunne

I have concluded, based on recent polling, and other soundings I have been taking over the last few weeks, that, the volatility and uncertainty notwithstanding, there is now a mood amongst Ōhāriu voters for a change of MP, which is unlikely to alter...

“I have therefore decided that it is time for me to stand aside, so the people of Ōhāriu can elect a new electorate MP. More>>


Gordon Campbell: On Labour’s Campaign Launch

One of the key motifs of Ardern’s speech was her repeated use of the phrase – “Now, what?” Cleverly, that looks like being Labour’s response to National’s ‘steady as it goes’ warning against not putting the economic ‘gains’ at risk. More>>


Lyndon Hood: Social Welfare, Explained

Speaking as someone who has seen better times and nowadays mostly operates by being really annoying and humiliating to deal with, I have some fellow feeling with the current system, so I’ll take this chance to set a few things straight.. More>>


Deregistered: Independent Board Decision On Family First

The Board considers that Family First has a purpose to promote its own particular views about marriage and the traditional family that cannot be determined to be for the public benefit in a way previously accepted as charitable... More>>


Transport Policies: Nats' New $10.5bn Roads Of National Significance

National is committing to the next generation of Roads of National Significance, National Party Transport Spokesperson Simon Bridges says. More>>


Gordon Campbell: On Why Labour Isn’t Responsible For Barnaby Joyce

As a desperate Turnbull government tries to treat the Barnaby Joyce affair as a Pauline Hanson fever dream – blame it on the foreigners! We’re the victims of the dastardly New Zealand Labour Party! – our own government has chosen to further that narrative, and make itself an accomplice. More>>


Rail: Greens Back Tauranga – Hamilton – Auckland Service

The Green Party today announced that it will trial a passenger rail service between Auckland, Hamilton and Tauranga starting in 2019, when it is in government. More>>


Housing: Voluntary Rental Warrant Of Fitness For Wellington

Wellington City Council is partnering with the University of Otago, Wellington, to launch a voluntary Rental Warrant of Fitness for minimum housing standards in Wellington, Mayor Justin Lester has announced. More>>





Featured InfoPages

Opening the Election