Tamihere draft report no quick fix

John Tamihere will remain on the backbenches despite suggestions he has been cleared of any wrongdoing over a $195,000 golden handshake he received after his resignation as chief executive of the Waipareira Trust.

The Herald on Sunday reported that draft findings by Douglas White, QC, found Mr Tamihere did not have to pay tax on the payment he received in 2000.

In October, Acting Prime Minister Michael Cullen said Mr White would look into allegations surrounding the payout, and on claims that tax on it was not paid.

A spokesman for Helen Clark said yesterday that the Prime Minister had not yet read the draft.

Claims in yesterday's story that supporters of Mr Tamihere hoped he could be back in the Cabinet by Waitangi Day were off the mark, said the spokesman.

"Don't forget we are also waiting for a Serious Fraud Office report, so that Waitangi deadline is rather fanciful.

"Nobody has any idea when all these reports are going to be completed. And even when they are completed, and delivered, the Prime Minister has to consider them and to discuss them with colleagues.

"These deadlines are just plucked out of thin air."

Acting Waipareira deputy chairwoman Naida Glavish said she had yet to see the report, but was not surprised at suggestions that Mr Tamihere had been cleared.

She said the trust had already accepted that it was responsible for approving the payment and for paying tax on the amount.

But she said regardless of the report conclusions, doubts would remain over the ethics of claims by Mr Tamihere before the 1999 elections that he had declined to accept the golden handshake.

Waipareira chief executive Reg Ratahi, a former tax inspector, questioned if Mr White investigated whether Mr Tamihere had declared the income in his 2000 tax return.

Mr Ratahi also continued to insist that the Government pick up the trust's $80,000 legal bill - clocked up in assisting in the investigation.

"We shouldn't have to pay to co-operate. Helen Clark ordered this investigation - the Government should pay for it."

Mr Tamihere said he had read a draft of the report but would not discuss its details

He said the Herald on Sunday got it mostly right, "except for a couple of things" but refused to say what they were.

The paper also reported that draft findings criticise Mr Tamihere over a four-wheel-drive vehicle he received and tax liability for a 1998 bonus of $22,784 but clears him over concerns about his 1999 election expenses.