Red flag missed in hiring CEO

Nigel Murray had already been ousted from a top health job in Canada because of concerns over his management and leadership skills when Waikato District Health Board was looking to hire him as its new chief executive.

But the DHB was unaware of Murray’s demotion from his role as president and chief executive of Fraser Health in May 2014 because it failed to talk to his former employer.

State Services Commissioner Peter Hughes said the failure by the DHB to speak to Wynne Powell, chairman of Fraser Health, meant it missed crucial red flags about Murray.

‘‘I believe it was a small but very significant gap in the recruitment process,’’ he said.

The State Services Commission (SSC) released its investigation findings into Murray yesterday morning, finding more than half of Murray’s claims for travel and accommodation were unjustified.

The investigation concluded Murray spent $120,608 on unjustified travel and accommodation.

The SSC is also damning of Murray’s former employer – Waikato DHB – saying the board’s governance of its chief executive was wanting.

The report has now been handed to the Serious Fraud Office which confirmed it is investigating Murray.

The SSC launched its investigation on November 3 following a directive from Health Minister David Clark. Its probe focused on circumstances surrounding allegations of wrongful expenditure by Murray, as well as any similar conduct by other DHB staffers.

Clark said the report into Murray’s expenditure was concerning and raised serious concerns about the oversight of the DHB chief.

‘‘Any poor spending of taxpayers’ money is something I would be concerned about. I think this particular investigation will ensure that DHB chairs and chief executives will be looking at their spending,’’ Clark said.

John Ombler, QSO, was tasked with heading the SSC investigation and found Dr Murray spent $218,209 of the Waikato DHB’s funding on travel, accommodation and related expenses during his tenure as chief executive from July 21, 2014 to October 5, 2017.

There were 129 items of expenditure on travel and accommodation during the former chief executive’s tenure.

Hughes said Ombler’s findings expose and catalogue sustained unauthorised and unjustified spending.

‘‘And I’m here today to say that that is not OK,’’ he said.

Murray resigned as Waikato DHB chief executive on October 5, part way through an independent DHB inquiry into his spending.

Hughes said former Waikato DHB chairman Bob Simcock’s oversight of Murray’s expenses ‘‘lacked the rigour and standard of care expected.’’

‘‘The investigation found the former chair was too trusting of Dr Murray. And Dr Murray let the chair down. He [Simcock] did not provide expected levels of oversight and this is one of the reasons this happened in the first place.’’

When initially confronted with allegations of unauthorised spending, Murray dismissed concerns, saying the funds related to a taxi fare and a meal.

He told Stuff that he welcomed any inquiry into his spending and would fully co-operate with investigators.

New zipline on track

The capital’s new adventure zipline is one step closer to taking off. Wellington Zipline Adventures (WZA) asked to lease 900 hectares of Southern Landfill land, near the suburb of Brooklyn, with assurances that thrill-seekers on the four ziplines would not see the dump from the new attraction. Yesterday, Wellington city councillors unanimously voted to grant the occupancy agreement for a commercial zipline operation. The venture now needs resource consent to proceed.

‘‘The investigation found the former chair was too trusting of Dr Murray.’’ State Services Commissioner Peter Hughes on the investigation into Nigel Murray, pictured left.

Basin Reserve crash

A car carrying two children found itself stuck in Wellington’s Basin Reserve after it crashed through the cricket ground’s fence yesterday morning. Police were called to the scene by Cricket Wellington staff after receiving multiple reports of a car seen crashing into one of the ground’s nets. The vehicle’s occupants – a man and his two children – were uninjured.

Motorway blocked

A crash blocked traffic on the Wellington Urban Motorway yesterday afternoon. The New Zealand Transport Agency said the accident blocked the left southbound lane just before the Aotea Quay offramp. The crash happened just after 2pm, and there were no reports of serious injury. Police and emergency services attended the scene.

Insanity verdict

A Manawatu¯ woman has been found not guilty of attempted murder by stabbing another woman by reason of insanity. She had long-standing mental health issues and was not taking her medication at the time of the incident in November last year. The woman’s name is suppressed, as is the victim’s name and their relationship. At the High Court in Wellington yesterday, Justice Simon France said he was satisfied that the woman, who is in her 60s, was labouring under a disease of the mind at the time of the stabbing. The judge said she did not have the capacity to understand the wrongness of it or to think in any rational sense and that a jury would have to find her not guilty by reason of insanity. He remanded her in custody until May for a disposition hearing to determine what should happen to her. The judge said she had believed she had given the victim a disease that would mean a lingering death and that she was saving the victim by attempting to kill her. He said she had a long-standing mental illness and had stopped taking her medication. Her lawyer, Val Nisbet, confirmed the woman was now fit to stand trial and understood the consequences of her actions. The Crown has agreed that she should be found not guilty by reason of insanity.

Fatal fall for tourist

A tourist died after plunging 100 metres from a waterfall at Twin Creek Falls in Arthur’s Pass National Park in Canterbury while canyoning with her husband on Sunday. Police said the couple, who were understood to be from Germany, but living in Australia, were experienced in canyoning and were holidaying in the area.

Drug charge

A 30-year-old woman from Uruguay has been charged with trying to import 4.3kg of cocaine into New Zealand in two false-bottom suitcases. The first-time visitor was questioned and her luggage examined after arriving at Auckland International Airport on Wednesday. She appeared in Manukau District Court yesterday, charged with importing and possession for supply of a class A drug.