Government knows billions have been lost in School

07 Apr 2010 Media release

The Labor Government's refusal to allow a full, transparent, judicial inquiry into the School Hall rip-off shows that they know the findings would be damning, Christopher Pyne, Shadow Minister for Education said today.

While the Federal Auditor-General is examining administration and reporting processes of the program there is a clear need to investigate how much money has been lost due to the reported inefficiencies, cost overruns, payment of secret fees, preferential treatment and misallocation of resources," Mr Pyne said.

Kevin Rudd and the Minister responsible, Julia Gillard, need to come clean with the Australian taxpayer over how much money has been squandered. Is it $6 billion that has evaporated in management fees and price gouging? Is it $8 billion? Or even more?

If it were true, as Ms Gillard claims, that problems with the School Hall rip-off remain isolated and many schools are happy then why wouldn't the Government launch an inquiry?

"It is because they know that if the program was placed under the spotlight of a judicial examination the findings of the inquiry would be a devastating blow and further evidence of Labor's incapacity to manage taxpayer's money," Mr Pyne said.

April 6, 2010

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Adam Howard

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