Ministry blasted for spending $40k on chief executive’s farewell

By 1news.co.nz

The Ministry for Pacific Peoples has been blasted by a watchdog commission for spending nearly $40,000 on a farewell event for its outgoing chief executive.

Leauanae Laulu Mac LeauanaeĀ (Source: Ministry of Pacific Peoples)

Public Service Commissioner Peter Hughes said today: “This is a case of one agency getting it wrong.”

A review by his office found that spending associated with a farewell event for the ministry’s outgoing chief executive had been an “inappropriate use of taxpayers’ money”.

The $39,262 farewell event, which took place last October, involved all staff members and included cultural gifts worth $7500.

The costs included more than $3000 on photography, flowers and ceremonial drummers, and more than $7000 for travel and accommodation expenses for 12 guests.

Chief executive Leauanae Laulu Mac Leauanae later returned the gifts and repaid the money after he became aware of the spending.

But despite not being involved in planning or decision-making, Hughes said he bore ultimate responsibility for how his organisation spent money.

“When a mistake is made, I expect public service chief executives to own it, fix it, learn from it, and to be accountable,” Hughes said.

ā€œMr Leauanae owned his part. When he became aware of the matter, he immediately repaid the money spent on gifts in full and returned all cultural gifts to MPP.

“He also repaid the money spent on travel for his family and a guest who did not have a formal role in the welcome. That is appropriate and I thank Mr Leauanae for putting the matter right at the first opportunity.

“It is important to be able to host events in a manner that is culturally appropriate, and there are well-established rules and policies to support that.

“New Zealanders expect their tax dollars to be used responsibly and appropriately.”

The spending was only revealed after a member of the public made an Official Information Act request about the farewell. The ministry then notified the commission, which decided to conduct its own investigation.

A ‘culture of extravaganza’ – opposition

Pacific Peoples Minister Barbara Edmonds said she had confidence in the new chief executive of the ministry.

“Itā€™s disappointing this has happened,” she said.

“Like all ministers, I expect agencies to spend taxpayer dollars prudently. They were not met on this occasion. Since becoming the minister, I have made my expectations around financial controls and practices clear.

“Senior leadership at the ministry has since changed and I have confidence in the new chief executive to ensure this doesnā€™t happen again.”

But National’s public service spokesperson Simeon Brown said the spending showed a “culture of extravaganza” at the ministry, according to Stuff.

“It is good that is has been found out but the reality is that without someone filing an OIA this would gone through to the keeper,” he told Stuff.

Later he said in a media release: “The issue here is that there is a culture of waste in Wellington that Labour has let develop across the public sector.”

Meanwhile, ACT leader David Seymour used the incident to call for an end to the ministry as a whole: “The real scandal is that the ministry is woefully ineffective.

“Pacific communities in New Zealand have thriving cultures, and are more than capable of sustaining their cultures and languages without a dedicated ministry. Under ACT, the Ministry for Pacific Peoples would be gone,” he said in a media release.

Brown said National did not support removing the ministry.

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