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Housing New Zealand Corporation, Chairman—Confidence

Wednesday 28 June 2006 Hansard source (external site)

Heatley12. PHIL HEATLEY (National—Whangarei) Link to this
to the Minister of Housing

Does he have confidence in the chairman of Housing New Zealand Corporation; if so, why?

CarterHon CHRIS CARTER (Minister of Housing) Link to this

Yes, because under his leadership Housing New Zealand Corporation has been delivering the Government’s social housing objectives efficiently and effectively.

HeatleyPhil Heatley Link to this

What date did he find out that the chairman knew about the now famous gagging clause a full 2 weeks before the media, yet did nothing?

CarterHon CHRIS CARTER Link to this

I have already delivered a personal explanation to the House correcting my answer to that question Mr Heatley asked me earlier. A mistake was made. The chairman apologised and informed me as soon as he became aware of it. I corrected my answer in this House at the first available opportunity. That is the end of the matter.

HeatleyPhil Heatley Link to this

I raise a point of order, Madam Speaker. We know that the Minister corrected the answer in the House—that is what has brought about all these questions. I asked the Minister what date he found out that the chairman knew he had made a mistake in telling the Minister the wrong dates. I want to know what date the Minister found out so that he could correct the answer in the House.

WilsonMadam SPEAKER Link to this

That is not a point of order.

HeatleyPhil Heatley Link to this

How can the Minister have confidence in the chairman when the chairman failed to tell him that he knew about the gagging clause, even though there was widespread adverse publicity week in and week out about what the chairman knew and when he knew it, and why did the chairman not tell him he already knew about the gagging clause?

CarterHon CHRIS CARTER Link to this

We have spoken at length about this issue already in the House. I can once again assure the House that as soon as the chairperson informed me of this matter—

CarterHon CHRIS CARTER Link to this

On the first available day—it was during the parliamentary adjournment. On the first sitting day, in the first 2 minutes of the House, I corrected the answer.

HeatleyPhil Heatley Link to this

Why did only media pressure convince the chairman that the gagging clause was severe enough to warrant an Auditor-General’s inquiry, and not the chairman’s own conscience and professionalism?

CarterHon CHRIS CARTER Link to this

It seems to me that to answer that would be quite speculative. I have absolute confidence that as soon as the chairman became aware of the matter Mr Heatley initially raised he spoke to me about it. I have to say that throughout this process the chair of the corporation has acted promptly. Indeed, the Office of the Controller and Auditor-General’s report tabled in this House says that there was no wrongdoing.

HeatleyPhil Heatley Link to this

Why did the chairman not ask for an external Auditor-General’s inquiry into the gagging clause when he found out about it—why did he delay for 2 or 3 weeks until the media put pressure on him to call an inquiry?

CarterHon CHRIS CARTER Link to this

The member again seems to be confused over timing issues. We have already been through these issues several times in the House. I would like to repeat for the members who seem to be rather slow at picking it up that we acted very promptly. In fact, I could spend a considerable amount of time reading out media quotes about how promptly and effectively the Government dealt with the issue.

HeatleyPhil Heatley Link to this

Why does the Minister say that he has dealt with the issue and that the issue was not serious, when, firstly, the Auditor-General was called in, now the chief executive is going home to Australia, and Gerald Coles’ job is still in limbo?

CarterHon CHRIS CARTER Link to this

The member may not be prepared to accept what I say, but this House surely must accept what the Auditor-General’s report stated, which was that no wrongdoing was done.

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