Spotlight on education trust

By KEVIN TAYLOR

A contract between the Education Ministry and a Government-funded Maori trust that provides scholarships to Maori students is coming under scrutiny from the Auditor General.

Secretary of Education Howard Fancy said in a statement yesterday that he had referred "matters" relating to the "management and accounting practices" of a contract between the ministry and the Maori Education Trust to the Auditor-General.

What the audit would cover was not revealed and Mr Fancy could not be contacted last night. His statement said there was no suggestion of fraud.

Trust chairman Dr Pita Sharples said he was contacted a week ago by Education Minister Trevor Mallard warning of the upcoming audit.

Dr Sharples initially thought the audit was a result of Mr Mallard's new role as Race Relations Minister and co-ordinator of the Government's review of Maori policies.

But he said that after a phone call from Mr Mallard yesterday he had accepted assurances the audit had nothing to do with the minister's new role or the review.

"I welcome any audit because it will show we have been really responsible in our work," Dr Sharples said.

"It will be like a Maori organisation being audited that will come up squeaky clean and smiling and will give an opportunity to show the benefits funding directly to Maori can produce - which is the matter under fire with the Government and opposition.

"We are living proof that it does work."

A spokeswoman for Mr Mallard said the audit was of an "administrative and operational" nature.

"It appears to be technical and there's no suggestion of fraud."

She said the audit had no relationship with Mr Mallard's new ministerial role, or the review of Maori policies.

Mr Fancy's statement said the Auditor-General would release the audit's terms of reference next week.

The trust was set up in 1961 to encourage Maori involvement in tertiary education. It hands out $6.6 million annually in scholarships to Maori.


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