Red Alert

Posts Tagged ‘Cronywatch’

Crony Watch #2

Posted by on May 27th, 2011

A while back I asked why the NBR doesn’t run it’s ‘Crony Watch’ column anymore. When Labour was in government they were very quick to critiscise when anyone who had any connection to the Labour Party was appointed to any sort of board or committee. Strangely they haven’t been as vocal and vigilant since National came to power, but there are certainly plenty of examples they could be highlighting. For example:

  • John Key’s electorate chairman, Stephen McElrea, has been given a role on a working group selecting proposals for taxpayer-funded political documentaries about health, education, welfare and law and order. He is also the deputy chair of NZ on Air, who get to choose which Kiwi TV shows get taxpayer subsidies.
  • Richard Griffin, former press secretary to the last National government (and often confused for the former PM) has been appointed Chair of the Board of Radio New Zealand.
  • Former National MP and Cabinet Minister Roger Sowry appointed to the Board of the Electricity Authority and to Chair the Councils of two polytechnics.
  • Former National MP and Leader Don Brash appointed to Chair the government’s 2025 taskforce.
  • Unsuccessful National Party candidate, and next on their list, Conway Powell, appointed to the Health Research Council of New Zealand.
  • Alastair Scott, who unsuccessfully tried to roll John Hayes as National candidate in the Wairarapa, was rewarded with a seat on the Crown Health Funding Agency.
  • National’s candidate in Mt Albert, Ravi Musuku, was rewarded with a slot on the Human Rights Review Tribunal after being rolled in favour of Melissa Lee for the by-election.
  • Former National MP Ian McLean appointed to the Lakes District Health Board.
  • Another former National MP Margaret Moir appointed to the Podiatrists’ Board.
  • Yet another former National MP, Clem Simich, appointed to the Residence Review Board.
  • One of the authors of Don Brash’s Orewa speech, Michael Bassett, appointed to the Board of Te Papa.

I don’t think someone should be disqualified from appointment to a role just because they have been, or are, involved with a political party. But those appointments will always be, and should be, subject to greater scrutiny. That scrutiny should be no less just because it is a National government rather than a Labour one.


National backs their mates, again…

Posted by on May 26th, 2011

Last year the National government was roundly criticized for setting aside $4.8 million in the Budget to be allocated to the Pacific Development Agency (PEDA) without a competitive tender process.  Keep in mind that when first quizzed about it Bill English’s first reaction, as it so often is, was to deny the whole thing. It took months of investigative work by the NZ Herald to establish that in fact not only did English know all about it, it was inserted into the Budget at his behest and officials didn’t know what to make of it.

The NZ Herald also suggested at the time the funding was part of an English-inspired effort to secure greater support for National amongst pacific voters. In the end they were forced to back down and a competitive tender process resulted in PEDA missing out completely.

Did they learn their lesson? It seems not. This year’s Budget allocated $2.4 million to Parents Inc, once again without a competitive tender process. The chief executive of Parents Inc, Bruce Pilbrow, was the Deputy Commissioner of the Families Commission (appointed by Paula Bennett) until he resigned just two days before the Budget. Why wasn’t the contract put out for tender? When did Pilbrow find out Parents Inc was getting the funding?

At the very least it’s a bad look for the government to set funds aside for specific organisations without going through robust processes to ensure the taxpayer is getting value for money. It leaves them open to charges of cronyism and looking after their mates, but then again, there are plenty of other examples of where the National Party are doing just that!


The 2025 Taskforce

Posted by on May 24th, 2011

This year’s Budget offered no plan for the future. Full of cuts with no real gain, it was based on a bunch of optimistic predictions about jobs and growth with very little to back it up. Which makes you wonder why the government have spent over $325,000 on Don Brash’s 2025 taskforce? Clearly none of his recommendations have been adopted.

Following news that the Taskforce was to be scraped, I asked Rodney Hide (the Minister responsible for it) a few questions on how much it had cost, whether he was satisfied with it, and what it had delivered. I asked him whether he was satisfied with the performance of the Chair, to which he gave the underwhelming reply: “Yes, because the Taskforce produced two high quality reports.” Two very expensive door-stops if you ask me.

It also turns out that the decision to discontinue the 2025 Taskforce wasn’t made by the Cabinet but was made after “discussions” between the PM, the Minister of Finance, and Hide. In other words, Hide threw his toys after Brash rolled him and the Taskforce got the chop.

Given that the government have spent $325,000 of taxpayer money to effectively write the ACT Party’s manifesto for this year’s election, perhaps now they are rolling in dosh following the Brash coup, ACT would be happy to pay some of it back??