GUILTY PLEA IN JEWETT SLAYING KYLE GOWEN GETS LIFE IN PRISON {page 4}
GOT TALENT? OSBOURNE DISHES OUT TOUGH LOVE ON TV {page 17}
HALIFAX
Wednesday, June 8, 2011 www.metronews.ca News worth sharing.
‘Groupthink’ blamed in scandal Concert-cash report three months in making
Most of 2010 advance not paid back
City on hook for $359,550
RYAN TAPLIN/METRO
JENNIFER TAPLIN
@METRONEWS.CA
HRM Auditor General Larry Munroe speaks with reporters at city hall after delivering his report into concert cash advances yesterday.
Pressure for concerts on the Halifax Common and competition with Moncton prompted cash advances to a concert promoter, according to HRM’s auditor general. But Larry Munroe wouldn’t name names at a press conference yesterday, other than former acting chief administrative officer Wayne Anstey. But his report states Anstey and Mayor Peter Kelly were “directly involved to varying degrees.” Munroe told reporters there was a general desire across several organizations to put on the concerts. Safeguards and proper procedures were “ignored or overridden,” according to the report. The 96-page document delves into the history of five HRM cash advances to Power Promotional Events going back to 2008. Munroe said some people acted outside their normal roles and responsibilities. The “groupthink” at the time was concerts were in the best interest of HRM residents. “I think people moved towards trying to ensure there were concerts on the North Common,” said Munroe. The report suggests there were
“We recognize that change is required, and I take full responsibility for ensuring we make the appropriate changes to be more accountable.” STATEMENT FROM SCOTT FERGUSON, PRESIDENT AND CEO OF TRADE CENTRE LIMITED, THE OPERATOR OF THE METRO CENTRE FUND
a number of red flags raised early to prove cash advances were risky and there should have been questions asked. “By doing so, HRM effectively transitioned from a supplier of a venue to the financial backer of concerts, risking taxpayers’ money,” the report says. There are 52 recommendations including mandatory ethics training for all staff and, as leaders, it is suggested council should go first. It was also recommended that HRM no longer give cash advances, and look into clarifying “legislated or authorized roles.” Also, the Metro Centre fund, which was used for the concert cash advances, should be used for Metro Centre events only unless authorized by council. Kelly responds {page 3}