Te Wananga o Aotearoa's council is considering trying to get a refund from chief executive Rongo Wetere after a scathing report revealed that contracts worth millions of dollars had been awarded to members of his family.
The Auditor-General's report, presented to Parliament yesterday, also disclosed details of Mr Wetere's expensiveoverseas trips and said there was no documentation justifying the travel.
Tertiary Education Minister Michael Cullen said it would be in the institution's best interests if Mr Wetere stepped down, but he has vowed to stay on.
A spokesman for the wananga said some of the issues detailed in the report had been known to the council, but the "totality" of what had occurred had shocked its members.
He said the council was going to approach the Auditor-General to discuss the possibility of getting some money back from Mr Wetere.
Dr Cullen hinted that he could use legislation to deal with the situation if Mr Wetere stood his ground.
He said the Government wanted to work with the wananga's council to move forward, but had to wait to see what happened with legal issues surrounding Mr Wetere's position.
He is currently on extended leave.
Dr Cullen said the wananga's council and its Crown manager knew that what had happened was unacceptable.
"There is no excuse for what this report reveals," Dr Cullen said at a press conference.
"The excuse that somehow or other this is consistent with Tikanga Maori I think is one that the vast majority of Maori will say 'that revolts me because it is not the way I would expect to behave in my own relationships'."
