New authority boss Sean Hughes alerted staff to the culture change in documents released to the Herald on Sunday. In an email to staff he warned: "I am concerned that our expenditure of public funds on a number of these items may not stand up to public scrutiny."
A review revealed spending on expensive functions. Staff were shouted a $2603 farewell function at the members-only Wellington Club to mark the change in letterhead.
That party came the same month as a $3665 farewell for departing CEO Diplock and deputy David Mayhew at one of the country's finest restaurants, Martin Bosley's Yacht Club Restaurant on the capital's expensive Oriental Pde, where main courses cost $50.
Commission staff also visited the Wellington Club in December for a pre-Christmas party that cost $3000. And after the functions in March they settled their $5661 bill at nearby Gibbston Coffee - where they had budgeted almost $10,000 a year for roasted coffee beans used in the office's three espresso machines.
Other treats included regular bills of up to $1700 from Palliser Estate for wine, $12,000 a year on massages and $135 a month for Sky TV. Staff were also given $22 Christmas parcels.
Big bills came in from Alliance Catering in February and March - the taxpayer picked up a total of $5400. The papers showed it was for staff farewells, platters of cut fruit and regular lunches bought for staff on busy days.
It was part of a $67,000 bill for "amenities and functions" although the review stated "most of this is hidden in travel expense claims". The review showed expenses and credit-card spending on travel hit $137,000 over the previous year.
The travel expenses were part of a total $680,000 spent on domestic and international travel. Inquiries found that $321,000 of that went on bills for Diplock's travel for her role as chairwoman of the International Organization of Securities Commissions based in Madrid, Spain.
When Hughes became chief executive he took a machete to costs and told staff that if he could not justify any of those items he was in an "indefensible" position.
A authority spokesman said the espresso machines were being sold, Sky TV had been cancelled, massages were off and only on-special wine was bought. But the biggest saving is likely to come from Diplock's travel spending. Authority chairman Simon Allen said it was still monitoring global regulatory trends but was not running for office: "We're not going to be as active internationally as the former chairman was."
