Labour calls for inquiry into SCF

Labour is calling for an independent Commission of Inquiry into the Government's handling of South Canterbury Finance.

MP David Cunliffe says he has a number of questions about the decision to allow the company to be covered under the Retail Deposit Guarantee Scheme, when it was known it was in financial difficulty.

He Is particularly concerned about the decision to extend the guarantee in April this year and the fact statutory management wasn't considered.

Mr Cunliffe said only a full independent inquiry would provide the public with confidence.

Finance Minister Bill English has rejected the call.

- NEWSTALK ZB