Zespri quiet on CEO's link to oil-for-food scandal

Tim Goodacre

New Zealand's biggest horticultural exporter, Zespri International, is staying quiet on allegations its chief executive was involved in Australia's oil-for-food scandal.

The company will not reveal what Tim Goodacre knows about claims his former employer, the Australian Wheat Board (AWB), knowingly paid kickbacks to Saddam Hussein under the UN programme.

Zespri chairman Craig Greenlees said Mr Goodacre, 51, told the board he was willing to give evidence, if required, to the Cole Inquiry into whether the AWB knowingly paid up to US$222 ($331) million into Saddam's coffers to corner lucrative wheat deals in Iraq.

The Australian inquiry has been told that Mr Goodacre, a senior executive of the AWB until 2002, had knowledge of additional payments channelled to Iraq through a Jordanian transport company, Alia.

The Green Party today called for Mr Goodacre to stand aside while the inquiry in Australia continues.

But Mr Greenlees said Mr Goodacre had kept the Zespri board "well informed" on the inquiry for some months.

"He has also confirmed to us that he is confident that he does not foresee anything of concern in the inquiry regarding his own actions while he was at AWB," Mr Greenlees told National Radio.

He said he was not prepared to discuss what Mr Goodacre's version of events was. "That is a matter for him and the inquiry," he said.

"Tim Goodacre has been a chief executive of Zespri for over three years, he's been a very successful chief executive of Zespri in that time, and he carries the support of our board and our industry."

Green Party MP Keith Locke said: "Mr Goodacre should do the decent thing and step aside from his CEO role until the Australian inquiry clears up who knew what.

"The Zespri board is not doing the company any favours by dodging political realities and simply proceeding on the basis of Mr Goodacre's reassurances that there is there is nothing for Zespri to be concerned about.

"It is important to our whole agricultural export industry that our traders are seen to be acting in an entirely proper manner and would not condone under-the-table payments."

An independent inquiry into the oil-for-food programme last year found more than 2200 companies made illicit payments totalling US$1.8 billion to Saddam's government.

The AWB escaped any finding of knowingly paying kickbacks, though investigators, led by former US Federal Reserve chairman Paul Volcker, found that some AWB employees probably knew that those payments would benefit Saddam's government.

AWB managing director Andrew Lindberg has resigned over the allegations.

- NZPA, HERALD ONLINE STAFF