Latest news with #publicmoney
ABC News
7 days ago
- Business
- ABC News
Parliamentary committee dismisses allegations against Darwin Waterfront Corporation
The Darwin Waterfront Corporation (DWC) has been cleared of wrongdoing by a Northern Territory parliamentary committee after the Territory Labor leader raised misuse of public money allegations. Opposition Leader Selena Uibo referred the "serious" allegations to the Public Accounts Committee last month. The allegations included the creation of a made-up unadvertised role that would see DWC's deputy chief executive, Sam Burke, receive a temporary $60,000 higher duties salary increase. The higher duties allowance allegedly continued for up to six years, long after the temporary role ended. Ms Uibo used parliamentary privilege last month to air the claims, which were made in a series of news reports by the NT Independent. Ms Uibo also referred allegations of funds being moved between two public bodies, the DWC and AustralAsia Railway Corporation (AARC). Mr Burke, who is married to NT Chief Minister Lia Finocchiaro, is the AARC chief executive and was appointed the DWC general manager in 2016. He was then appointed DWC's deputy chief executive in 2020, at the same salary level, in a four-year contract that was renewed in late 2023. Chair of the railway corporation is Alastair Shields, who is also DWC's chief executive. The AARC is a separate statutory body that manages the railway between Darwin and Tarcoola in South Australia, which is co-located with the DWC. The DWC told the committee Mr Burke was paid a $42,000 salary for higher duties between the two organisations, for five separate stints between 2018 and 2020. "Because none of the periods of higher duties exceeded six months, they were not required by NT [public service] guidelines to be advertised," the DWC submission read. DWC chair Patrick Bellot said Mr Burke's salary was cost-shared with the AARC and DWC. "The auditor-general has never raised any concern regarding these transactions in our unqualified annual audit reports." Mr Bellot said both organisations had their own separate annual audits. Mr Shields told the committee the two organisations had become "enmeshed" due to the sharing of resources and staff since the DWC's establishment in 2006. "We've shared board members, staff, office accommodation, resources from the very beginning," he said. Prior to the committee's hearing, Tourism and Hospitality Minister Marie-Clare Boothby, who has responsibility over the DWC, said the allegations would be "put to bed" by the process. Afterwards, she issued a statement welcoming the committee's unanimous dismissal of the allegations. "I am drawing the line in the sand on this matter," she said. The five-member Public Accounts Committee has a government majority of three members.
ABC News
22-05-2025
- Business
- ABC News
Misuse of public money claims at Darwin Waterfront Corporation referred to NT Public Accounts Committee
Misuse of public money allegations involving the Darwin Waterfront Corporation (DWC) and its deputy chief executive have been referred to a parliamentary committee for scrutiny. On Wednesday night, Opposition Leader Selena Uibo told NT parliament she was referring "serious" allegations relating to conduct at the DWC to the NT Public Accounts Committee (PAC). The DWC is a statutory authority established by the NT government which controls the Darwin Waterfront, one of the Top End's most popular recreational facilities. The DWC board released a statement on Thursday saying it "categorically denies any wrongdoing and welcomes the opportunity to respond to any matters raised by participating in any inquiry". Ms Uibo's referral follows a series of media reports by the NT Independent about the allegations, which the online publication said were based on internal memos. Speaking in parliament, Ms Uibo said the allegations involved "significant sums of public money and they cannot be allowed to quietly fade into the background". She said among the claims was the "alleged creation of a made-up, part-time job for Mr Sam Burke", the DWC's deputy chief executive. Ms Uibo said the role was "reportedly unadvertised" and allegedly resulted "in a $60,000 salary increase via a temporary higher duties allowance". "The higher duties allowance allegedly continued for up to six years," she said. Ms Uibo also referenced "reports of public service rules being repeatedly breached". "With roles not advertised, promotions bypassing merits-based reviews and job evaluation [processes] ignored for the benefit of certain individuals," she said. Mr Burke, Chief Minister Lia Finocchario's husband, has worked at the DWC since January 2016. He is also the chief executive of AustralAsia Railway Corporation (AARC), another statutory authority established under NT law. Ms Uibo said the allegations included money being transferred between "taxpayer-funded entities to support Mr Burke's salary". "There have been claims of funds being moved between the DWC and the AARC," she said. "It has been further alleged that a memo outlines how the DWC would recoup salary costs from the AARC, raising concerns of potential fraud and gross conflicts of interest." In a statement, AARC chair Alastair Shields said the two corporations were co-located and for many years had "shared some corporate services and staff for efficiency". "There is nothing untoward or unusual about this arrangement, and it predates the appointment of Mr Burke as chief executive." Mr Burke initially joined the DWC as general manager, which a spokesperson said he secured "following an open recruitment process". The DWC spokesperson said in 2023, Mr Burke's title changed from general manager to deputy chief executive — a role responsible for the corporation's daily operations. "This was a change in title only and there was no salary increase at this time," they said. Ms Uibo said allegations had been made about Mr Burke being "promoted" in 2023. "Mr Burke signed a new four-year executive contract in November 2023 ... promoting him … with a salary of $259,824, plus benefits," she said. Ms Finocchiaro has declined to answer questions relating to the allegations, saying that "clear separations are appropriately and properly in place". Calls for an inquiry, by the Labor opposition and independent MLA Justine Davis, have been shut down by Tourism Minister Marie-Clare Boothby. In deciding not to call an inquiry, Ms Boothby referenced a departmental briefing which she said proved "due process under those allegations was actually followed". Ms Boothby has refused to publicly release the briefing. In its statement, the DWC board said it had been subject to annual audits by the NT auditor-general. "These audits, conducted in accordance with the relevant NT laws and with reference to the Commonwealth corporations law, have consistently found no evidence to support any finding of financial or governance misconduct," it said. Ms Uibo acknowledged in her speech that the allegations occurred solely during Labor's eight years in power. "But that does not, and it will not, deter me from demanding accountability," the former cabinet minister said. The DWC board said it had invited Ms Uibo "for a briefing on the allegations", but had not received a response. The five-member Public Accounts Committee — which has a government majority of three members — will now decide whether to accept Ms Uibo's referral and investigate the allegations. Mr Burke was contacted for comment.
The Independent
11-05-2025
- Business
- The Independent
Universities must be more transparent with public money, skills minister says
Universities have 'lost sight' of their responsibility concerning public money and should be more transparent about how it is spent, a Government minister has said. It comes after revelations that two in five universities and colleges in England expect to run at a deficit this year. Writing in The Sunday Telegraph, skills minister Baroness Jacqui Smith said universities should focus on 'the core mission of higher education, which is rooted here in Britain, its young people, its economy and its society'. 'We ask students to make a considerable investment in their degrees. Universities have huge revenues and must be more transparent about where this money is going,' she said. 'They ask Government to do more to support them, but seem to have lost sight of their responsibility to protect public money.' Last November, Education Secretary Bridget Phillipson announced undergraduate tuition fees in England, which had been frozen at £9,250 since 2017, would rise to £9,535 from 2025/26 to 'secure the future of higher education'. 'But we have a clear message to university leaders across the country: you also need to do your bit,' Baroness Smith said. 'If we allow you to increase the fees you can charge students, then this – and the salaries you earn – must be backed with a clear commitment to break down barriers to opportunity and support our mission to drive growth.' The deterioration in financial performance for the universities sector is likely to continue without reforms, the Office for Students (OfS) has warned. The higher education regulator said it is making preparations to protect students in case of possible closures of institutions. The watchdog's annual health check said 43% of higher education providers in England face a deficit in 2024/25, compared to 40% of institutions in 2023/24. The OfS analysis said the primary reason for the decline is a fall in international student recruitment and estimated that overseas student numbers could be more than a fifth lower than previous forecasts. In January, Ms Phillipson said universities would have to demonstrate that they could deliver 'best outcomes' for students in the wake of increases in tuition fees. 'We will expect the higher education sector to demonstrate that, in return for the increased investment that we are asking students to make, they deliver the very best outcomes,' she said. Ms Phillipson said she expected universities to play a bigger civic role in their communities and make a 'stronger contribution' to economic growth. University leaders have been warning of significant financial concerns caused by a drop in the number of overseas students, who can be charged higher tuition fees, following restrictions introduced by the former Conservative government, as well as frozen tuition fees paid by domestic students. A number of institutions across the UK have announced redundancies and course closures over the past year as a result of growing financial pressures. Philippa Pickford, director of regulation at the OfS, told the media at a briefing: 'We're not expecting short-term university failures, certainly of a large institution, but it is something that we are preparing for and making sure that we've got processes in place to manage.' She said the OfS is working closely with a small number of institutions where they are 'concerned about their financial viability' to think about what needs to be put in place to protect students if they were to fail. Ms Pickford added: 'There is no doubt that if it was a large institution that fails, our ability to secure good outcomes for students is quite low, and that's why we think it's really important to have some sort of special administration regime in place for higher education. 'I know that's something that we're talking to Government about at the moment.' Some universities are predicting a strengthened financial performance in the longer term, but the OfS has warned that forecasts seem 'too ambitious'. 'We are concerned that this expected recovery is based on overly ambitious figures for recruitment growth over this period: 26% growth in UK student entrants and 19.5% growth in international student entrants,' the report said. Since January 2024, international students in the UK have been banned from bringing dependants with them, apart from some postgraduate research courses or courses with government-funded scholarships. The OfS report said international student entrant numbers are projected to be 21% lower than last year's forecasts. Separate figures, released by the Home Office on Thursday, showed that study visa applications were down 24% in the year to April 2025 compared with the previous 12 months, from 582,500 to 441,700. The fall has been driven by a steep drop in the number of applications that cover dependants (down 83%), with only a small drop in the number of main applicants (down 10%). The Government is due to set out its plan for higher education reform in the summer.
Bloomberg
11-05-2025
- Business
- Bloomberg
UK Universities Must Be More Transparent With Public Money, Minister Says
Universities have "lost sight" of their responsibility concerning public money and should be more transparent about how it is spent, a Government minister has said. It comes after revelations that two in five universities and colleges in England expect to run at a deficit this year.
Yahoo
11-05-2025
- Business
- Yahoo
Universities must be more transparent with public money, skills minister says
Universities have 'lost sight' of their responsibility concerning public money and should be more transparent about how it is spent, a Government minister has said. It comes after revelations that two in five universities and colleges in England expect to run at a deficit this year. Writing in The Sunday Telegraph, skills minister Baroness Jacqui Smith said universities should focus on 'the core mission of higher education, which is rooted here in Britain, its young people, its economy and its society'. 'We ask students to make a considerable investment in their degrees. Universities have huge revenues and must be more transparent about where this money is going,' she said. 'They ask Government to do more to support them, but seem to have lost sight of their responsibility to protect public money.' Last November, Education Secretary Bridget Phillipson announced undergraduate tuition fees in England, which had been frozen at £9,250 since 2017, would rise to £9,535 from 2025/26 to 'secure the future of higher education'. 'But we have a clear message to university leaders across the country: you also need to do your bit,' Baroness Smith said. 'If we allow you to increase the fees you can charge students, then this – and the salaries you earn – must be backed with a clear commitment to break down barriers to opportunity and support our mission to drive growth.' The deterioration in financial performance for the universities sector is likely to continue without reforms, the Office for Students (OfS) has warned. The higher education regulator said it is making preparations to protect students in case of possible closures of institutions. The watchdog's annual health check said 43% of higher education providers in England face a deficit in 2024/25, compared to 40% of institutions in 2023/24. The OfS analysis said the primary reason for the decline is a fall in international student recruitment and estimated that overseas student numbers could be more than a fifth lower than previous forecasts. In January, Ms Phillipson said universities would have to demonstrate that they could deliver 'best outcomes' for students in the wake of increases in tuition fees. 'We will expect the higher education sector to demonstrate that, in return for the increased investment that we are asking students to make, they deliver the very best outcomes,' she said. Ms Phillipson said she expected universities to play a bigger civic role in their communities and make a 'stronger contribution' to economic growth. University leaders have been warning of significant financial concerns caused by a drop in the number of overseas students, who can be charged higher tuition fees, following restrictions introduced by the former Conservative government, as well as frozen tuition fees paid by domestic students. A number of institutions across the UK have announced redundancies and course closures over the past year as a result of growing financial pressures. Philippa Pickford, director of regulation at the OfS, told the media at a briefing: 'We're not expecting short-term university failures, certainly of a large institution, but it is something that we are preparing for and making sure that we've got processes in place to manage.' She said the OfS is working closely with a small number of institutions where they are 'concerned about their financial viability' to think about what needs to be put in place to protect students if they were to fail. Ms Pickford added: 'There is no doubt that if it was a large institution that fails, our ability to secure good outcomes for students is quite low, and that's why we think it's really important to have some sort of special administration regime in place for higher education. 'I know that's something that we're talking to Government about at the moment.' Some universities are predicting a strengthened financial performance in the longer term, but the OfS has warned that forecasts seem 'too ambitious'. 'We are concerned that this expected recovery is based on overly ambitious figures for recruitment growth over this period: 26% growth in UK student entrants and 19.5% growth in international student entrants,' the report said. Since January 2024, international students in the UK have been banned from bringing dependants with them, apart from some postgraduate research courses or courses with government-funded scholarships. The OfS report said international student entrant numbers are projected to be 21% lower than last year's forecasts. Separate figures, released by the Home Office on Thursday, showed that study visa applications were down 24% in the year to April 2025 compared with the previous 12 months, from 582,500 to 441,700. The fall has been driven by a steep drop in the number of applications that cover dependants (down 83%), with only a small drop in the number of main applicants (down 10%). The Government is due to set out its plan for higher education reform in the summer.
