BendigoWeekly www.bendigoweekly.com.au
ISSUE 1012 FRIDAY, MARCH 31, 2017
Doing it for Kath AS organisers gear up for another Mother’s Day Classic, one of Bendigo’s most successful teams is preparing to take to the track without its namesake. – Story Page 5
PAY CHECK FOREVER: Team Kath has vowed to carry on.
By SHARON KEMP
THE board of Bendigo Health failed to have the appropriate oversight on executive remuneration when chief executive John Mulder was allegedly receiving tax benefits as part of his salary by renting a house from his wife. The board may have breached Government Sector Executive Remuneration Panel guidelines by not having at least three independent directors on the governance and remuneration committee that oversees the pay of the chief executive and other senior staff.
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Lack of oversight from hospital board
The guidelines are not voluntary. The 2011/12 Bendigo Health annual report states Mr Mulder was on the committee, with only two independent directors, Michael Langdon and Jan Boynton. The year in question is one of several during which Mr Mulder is accused in a report by the Independent Broad-based Anti-corruption Commission of renting a property indirectly from his wife
through Bendigo Health and simultaneously claiming a living away from home allowance. The arrangement was alleged to have started in 2010 and was part of salary packaging entitlements. Mr Mulder has said he has advice from two accountants that the arrangement was legal. The board is investigating allaged misconduct claims, including the private use of hospital resources, released by IBAC last month as
School in turmoil – Page 3
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part of Operation Liverpool. The Bendigo Weekly can also confirm the board has appointed an independent investigator to conduct the probe. The appointment was only revealed after former federal MP Steve Gibbons questioned the board’s oversight “that should have monitored, detected and prevented the current situation from happening in the first place”, in a letter published in the Bendigo Weekly.
“It beggars belief that they think the people of this city would accept this outrage,” Mr Gibbons wrote. “What would a totally partisan board achieve that the totally independent (IBAC) inquiry didn’t?” A previous statement from a Bendigo Health spokesperson said IBAC had provided the board with “statements of evidence” that allowed it to conduct its own investigations. “A copy of Bendigo Health’s investigation report will be provided to IBAC on completion.”
PROBE LAUNCHED Page 4
52-page Property Guide inside
SATURDAY 1 APRIL 2017 at the Bendigo Racecourse
featuring the Triple MMM Food & Wine Village