The NSW Treasurer says he was shocked by a report Covid-19 emergency money had been used as a “slush fund” by government departments.
Matt Kean told a budget estimates hearing on Monday he would order a review of the checks and balances in place to avoid pandemic funds being wrongly used.
It came after a media report at the weekend alleged agencies had used emergency cash as an “endless slush fund”.
Whistleblowers alleged government agencies used money meant for pandemic-related costs for such things as office equipment and carpet replacements with “very little oversight”.
“When I read that article, I was shocked by it, and I’ve asked the (Treasury) department toxjmtzyw look into it and advise me on whether or not our systems and processes are up to scratch,” Mr Kean said.
The Treasurer, who has the power to approve emergency payments, was unable to say how much such pandemic cash he had personally approved.
When asked repeatedly about it, Mr Kean became irritable and accused opposition MPs of trying to “lecture” him on financial management.
But the Treasurer promised the issue would be dealt with.
“I can absolutely give the committee and the people of NSW an assurance that we will be paying close attention to these issues raised and put in place the systems and processes required to give people confidence that the money is being spent wisely,” he said.
The committee heard $346 million of Covid-19 expenditure above the appropriation had been approved in the 2020-2021 financial year.
That’s more than 10 per cent of the funding of the Treasury’s budget, Labor’s Daniel Mookhey told the hearing.
