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Home / Business

$100m trust chief clings on

By Jarrod Booker
10 Sep, 2007 05:00 PM2 mins to read

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KEY POINTS:

A controversial leader has narrowly survived a bid to oust him in a bitter struggle for control of more than $100 million belonging to the West Coast.

A deadlocked 6-6 vote enabled Development West Coast chairman Frank Dooley to hold on to his position yesterday, overcoming a challenge
headed by board member Tony Williams.

The DWC, formerly the West Coast Development Trust, was set up in 2001 with $92 million from the Government to compensate the region for the loss of its native timber logging industry.

The money was to be used to start business ventures on the coast, and has grown to assets of $126 million.

But relations between the 12 on the board, and with local councils and communities, have not been as positive.

A campaign has been under way to remove Mr Dooley, and Grey District Mayor Tony Kokshoorn said he retained his position yesterday on a "disputed technicality".

"It doesn't give him a mandate to move on. The split is severe."

Westland District Mayor Maureen Pugh labelled Mr Dooley a "dictator".

West Coast councils were supposed to be able to work with the DWC, but "the door is closed to that type of relationship", Ms Pugh said.

"We have spent five years trying to work with the trust and the only solution we have got left is a political one."

Mr Dooley said yesterday's forced vote was a political stunt to "have a coup" on the chairmanship one month out from elections, in which the DWC board will be reduced from 12 to 6.

Meanwhile, a controversial proposal by the DWC to give an undisclosed sum of money to hotel chain Scenic Circle has been amended after a backlash.

West Coast media had speculated could be as much as $40 million, but the Herald understands the figure is only a fraction of this. The board yesterday reduced the proposed sum, for further discussion.

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