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Student Loans—Incentives

Thursday 19 July 2007 Hansard source (external site)

Wong12. PANSY WONG (National) Link to this
to the Minister for Tertiary Education

Does he stand by his statement in respect of 13 providers currently being reinvestigated for allegedly offering cash kickbacks to senior students through the student loan system that “None of the 13 providers have qualifications programmes that are currently eligible for funding. New students commencing unfunded qualifications from January 2007 are not eligible for access to student loans and allowances.”; if so, why?

CullenHon Dr MICHAEL CULLEN (Minister for Tertiary Education) Link to this

Yes, but I note that, in the light of continuing allegations, the situation is being investigated by relevant Government agencies, and I thank the member for her assistance in those inquiries, both past and forthcoming.

WongPansy Wong Link to this

How can the Kingsland Institute of New Zealand, the International College of Auckland, and Oxford International Academy, three of the 13 providers under investigation, advertise throughout June and July this year that they will arrange student loans and allowances for senior students who enrol in their English classes, free of charge?

CullenHon Dr MICHAEL CULLEN Link to this

There are only two circumstances in which that could legitimately happen—that is, if they come in before 17 January or were legitimately grandparented. From the nature of the advertisements, neither of those circumstances would seem to apply. Therefore, the prospect arises, perhaps, of their illegitimately backdating the start date for their programmes of study, or using other manipulative means. I know that the member is going to assist the Tertiary Education Commission and StudyLink in arranging interviews on 29 July with students of institutions who have made complaints, and I thank her again for that assistance.

WongPansy Wong Link to this

Is the Minister aware that those advertisements are not for grandparented students but for new students; and what measures does the Tertiary Education Commission take to police this policy, which was supposed to start in January 2007, given that the Minister has claimed that it does not rely solely upon complaints to take action, and does the Minister think those other forms of action are working?

CullenHon Dr MICHAEL CULLEN Link to this

As I said to the member, there were two circumstances, neither of which seems to apply—the member is not quite listening—to the advertisements that she has outlined. That is, I think, why further investigations are occurring. The fact is that people will continue to sin, and we will continue to chase them up, in that respect.

WongPansy Wong Link to this

Why should the public have confidence in the Minister or the Tertiary Education Commission to police this policy, when these providers are in such open contempt of their authority and openly defy the Tertiary Education Commission?

CullenHon Dr MICHAEL CULLEN Link to this

I can assure the member that investigations are under way, and I will be happy to brief her outside the House on the nature of some of those investigations. I do not think it is in the public interest for me to refer to them publicly.

WongPansy Wong Link to this

I seek leave to table a copy of an advertisement for the Kingsland Institute of New Zealand, dated 29 June.

Document, by leave, laid on the Table of the House.

WongPansy Wong Link to this

I seek the leave of the House to table a copy of an advertisement for the International College of Auckland dated 16 June 2007.

Document, by leave, laid on the Table of the House.

WongPansy Wong Link to this

I seek leave to table a copy of an advertisement for the Oxford International Academy.

Document, by leave, laid on the Table of the House.

WongPansy Wong Link to this

I seek leave to table a copy of an advertisement for the Kingsland Institute, dated 10 July 2007.

Document, by leave, laid on the Table of the House.

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