Held to higher standards
If he had not already done so, Auditor-General Martin Matthews would have had no choice but to stand aside after the committee of MPs that appointed him agreed to an independent review of his handling of a major fraud case.
Matthews informed Speaker David Carter on Tuesday of his decision. It was already clear by then Carter would have to intervene otherwise. Matthews’ position had become untenable as questions mounted about his management of a staffer who defrauded the Ministry of Transport. Carter underscored the seriousness of those questions when he labelled the review as necessary to protect the integrity of the office of auditor-general.
Not even Labour leader Andrew Little who called for the review, is suggesting impropriety on Matthews’ part. Carter has previously expressed confidence in Matthews and yesterday noted again that he had seen nothing to shift that view. Matthews, for his part, maintains that he stands by his actions at the ministry and blames misinformation and media speculation.
But Matthews is not just any public servant. He is Parliament’s appointed watchdog of taxpayer funds. That includes holding agencies and departments to account over their systems of oversight and governance. It is his stewardship over both those areas that is being questioned after Joanne Harrison committed large-scale fraud while he was transport secretary.
Allegations this week that two whistleblowers were later restructured out of the ministry go to the heart of public confidence in the integrity of the public service and New Zealand’s whistleblower laws. The two men allege that senior managers were informed about fake invoices used by Harrison, including a $123,000 payment, and believe that was why they lost their jobs.
There are now two inquiries under way. State Services Commissioner Peter Hughes will inquire into the treatment of the whistleblowers, while the former head of the Department of Prime Minister and Cabinet, Sir Maarten Wevers, will carry out the parliamentary inquiry.
The public can have confidence in the integrity of both not to deliver a whitewash.