Feb 17, 2008

NZAID - Second Damning Audit Report

NZAID isn't just feeling the heat from Trevor Louden. For the second time in just four months the agency has been criticised strongly by the Office of the Auditor General for poor management. Last time round we recall MFAT CEO Simon Murdoch stepping in to save NZAID Director Peter Adams' bacon. What is going to happen this time. And why has the heat not gone on NZAID Minister Winston Peters over this second report (what has happened to Ministerial responsibility under the Labour-led Government?)? And why is the Opposition not making more of this?

It seems to The Hive that the flaw that Trevor Louden identified over funding the NZCID's travel pool is identical to the "turning a blind eye" problem identified by the Auditor General's office, only the "turning a blind eye" is to practice at home, as opposed to fraud and official corruption in recipient countries. In the case of the programmes audited "the auditors did not find any specific examples of fraud or corruption, but the lack of proper controls meant an increased risk". That is good news, but Trevor Louden has actually discovered a case where NZAID monies would have been misused if the grant recipient had actually been able to undertake his travel.

National and other opposition parties should be all over this, as should the media.