Peters denials on conflict of interest questioned

Winston Peters in a standup with media on Monday regarding questions over a company with connections to people with close connections to NZ First (lawyer Brian Henry and Peters’ partner Jan Trotman) (1 News):

What in earth would the Auditor general investigate? Because an application was made and it failed.

If it came to the question of whether there was a conflict of interest, well in the case of one person who wasn’t even then a director, but became an executive director  after the failure, how would that in any way be caught by a conflict of interest?

And in the case of myself and Shane Jones, well I didn’t even know about it and nor did Shane Jones to the best of our knowledge, because it was handled by the process.

What on earth would the Auditor General investigate?

A journalist asks a question “But if you’re confident everything was done by the book…”

We’re not going to have you running off in a psycho case of attack on a political party without any grounds whatsover.

No no if you want to tell me why the Auditor General is justified give me the reasons. Don’t sit there indolently and snottily and lazily saying you’ve got a case when you ain’t got one, for even a preliminary inquiry.

….Yes, I am calling you psycho, because you can’t event even make out the case.

You’ve got to be psychologically maladjusted if you can’t make a case out for an investigation and you think it’s sound. The laugh’s on you because you’re meant to be a journalist.

In Parliament yesterday:

Question No. 4—Finance

4. CHRIS BISHOP (National—Hutt South) to the Associate Minister of Finance: How much money did NZ Future Forest Products Ltd apply for from the Provincial Growth Fund and what was the application for?

Hon Dr DAVID CLARK (Associate Minister of Finance): I can confirm that N.Z. Future Forest Products Ltd applied for a $15 million loan from the Provincial Growth Fund. As the information is already in the public domain, I can tell the member that the loan was to carry out a feasibility study for a new engineered timber operation in Gisborne. It’s worth noting that the application has been declined by Ministers.

Chris Bishop: On what date was responsibility for N.Z. Future Forest Products’ applications to the Government for funding through the Provincial Growth Fund transferred from the Hon Shane Jones to him because Mr Jones had identified a conflict of interest?

Hon Dr DAVID CLARK: The transfer occurred on 4 November.

Chris Bishop: Does that mean that the Hon Shane Jones was the Minister in charge of the Provincial Growth Fund from March 2019, when N.Z. Future Forest Products’ application was made, up until 4 November, when the responsibility was transferred to him?

Hon Dr DAVID CLARK: I wouldn’t characterise it as the member has. I’m not responsible for the period where Mr Jones—prior to the transfer on 4 November. Obviously, it was transferred to my office on 4 November. I received advice, and declined the application on 7 November.

Chris Bishop: Is he aware on what date the Hon Shane Jones became aware of the N.Z. Future Forest Products’ application to the Provincial Growth Fund?

Hon Dr DAVID CLARK: No.

Chris Bishop: Is he aware of what the conflict of interest is that meant the Hon Shane Jones transferred responsibility to him as Associate Minister of Finance?

Hon Dr DAVID CLARK: I’m advised that Minister Jones took advice from the Cabinet Office and acted appropriately in transferring the matter to me for my responsibility to make the decision.

SPEAKER: Order! Order! I am going to ask the member to—I mean, he can say no if he—

Hon Dr DAVID CLARK: Mr Speaker, I don’t have that detail. If the member does wish to put it down in writing, I’m sure we can find an appropriate answer.

Chris Bishop: Is he aware of whether the Hon Shane Jones wrote to the Prime Minister advising of the conflict of interest, as required by section 2.72 of the Cabinet Manual?

Hon Dr DAVID CLARK: I’m not responsible for that. I can confirm that the responsibility was transferred to me, obviously, on 4 November, and then, on 7 November, I declined the application.

This casts some doubt on what Peters has stated. perhaps journalists should go more psycho on this. Or at least do some more investigating.

Jaan Trotman was made a director in August. That now appears awkward given these dates.

National are again calling on the Auditor General to investigate – Jones oversaw PGF application for six months

“NZFFP’s application was made in March 2019 soon after the company was registered with Winston Peters’ personal lawyer Brian Henry appointed as a director, with Mr Peters’ partner Jan Trotman being appointed in August.

“This means Shane Jones was in charge of the process for nearly six months while NZFFP was discussing its application with officials.

“Multiple questions arise in this murky affair and the Auditor-General must investigate. Among them, why did it take Mr Jones so long to declare this conflict of interest? What advice led to Mr Peters also declaring a conflict, as he appeared to reveal in Parliament today, and when did he declare that conflict?

Peters declared a conflict of interest? On Monday he sgated “And in the case of myself and Shane Jones, well I didn’t even know about it and nor did Shane Jones to the best of our knowledge, because it was handled by the process”.

In question 1 yesterday:

Hon Paula Bennett: So does she believe it’s appropriate for the Deputy Prime Minister to call journalists “psychos” for asking questions and doing their job?

Rt Hon WINSTON PETERS: On behalf of the Prime Minister, when a journalist asks about an application to the Provincial Growth Fund (PGF), which was treated only by the independent PGF fund managers and never went to Ministers, and where both Ministers declared a potential conflict of interest and the application did not succeed and failed, one has to ask oneself what sort of mind is it that thinks that the Ministers are so useless that they failed to get the application approved in the first place. That’s what a psycho looks like.

Both Ministers? Jones and Peters?

There may be some justification for further investigation.

Provincial growth Fund another ‘Think Big’ dud?

A New Zealand think tank is claiming the Government’s Provincial Growth Fund (PGF) needs a course correction to ensure it isn’t wasting money.

The Maxim Institute released a report on Tuesday which suggests the Government’s “big” thinking with the $3 billion PGF comes with too much risk, and it needs to start making “smart” investments to generate the best outcomes for the regions.

“The temptation when you are under that kind of pressure is to pick the low hanging fruit, to grab the thing that is investment ready, even if it isn’t necessarily the best investment in the big scheme of things” said chief executive Alex Penk.

The report says that the PGF has “great potential” but introduces the risk of “misallocating resources, creating dependency culture and favouring rent-seekers over innovators”.

The institute’s five key concerns include a lack of evaluation and little co-ordination across the overall regional development strategy. It also said a “sector-based investment strategy that picks certain sectors over others introduces undue risk”.

 

Splashing cash at Waitangi

So far one of the biggest stories of the lead up to Waitangi Day is the splashing of Government cash.

It looks more like a political pork barrel campaign than a dignified marking of New Zealand’s most important historical event.

And it’s not just the PR use and abuse of being in the national spotlight that is raising questions.

Newshub can reveal the Government’s Provincial Growth Fund (PGF), designed to create jobs and boost the regions, has only created 54 jobs and spent just $26.6 million of its $3 billion.

Even with just 3.4 percent of the funding paid out, each job is costing the Government about $484,000.

Minister in charge of ther Money Machine, Shane Jones:

“I accept that the projects are going to take a while to fully establish…The Regional Economic Development Minister find himself tangled up in the Government’s own red tape. Despite my heroic rhetoric, it is quite a red tape process”.