Dave Macpherson wants answers on DHB chair's failure to disclose advice to sack Nigel Murray

Dr Nigel Murray. Photo / File

A Waikato health board member is demanding answers over why crucial advice to dismiss former chief executive Dr Nigel Murray appears to have been withheld.

And Dave Macpherson wants the discussion held in public, not behind closed doors, at Wednesday's Waikato District Health Board meeting.

On Saturday the Weekend Herald revealed former board chairman Bob Simcock was repeatedly advised by the State Services Commission to sack Murray if wrongdoing was found during the DHB's investigation into the former chief's expenses last year.

In documents released alongside the State Services Commission inquiry findings on Thursday, Assistant Commissioner Geoff Short repeatedly told Simcock the Commission's preference was for Murray to be dismissed if wrongdoing was found.

But Simcock never told other board members about the advice and Murray was allowed to resign on October 5.

His conditional resignation meant Murray did not have to face disciplinary action and the DHB's independent inquiry was never completed.

The findings have also never been released publicly, however the Herald revealed two weeks after Murray quit that the draft report by an employment lawyer from Simpson Grierson in Auckland pointed to expenses associated with two Canadian women.

On Thursday the State Services Commissioner Peter Hughes was highly critical of the board's decision to allow Murray to resign, saying it should never have happened.

"This meant that Dr Murray did not have to answer for his conduct. And that was wrong," Hughes said.

"Public accountability and transparency is essential to maintaining public trust and confidence."

The SSC inquiry found half of Murray's travel and accommodation was unauthorised or unjustified, amounting to $120,000 of taxpayer money, and the case was referred to the Serious Fraud Office.

Murray has paid back more than $74,000 but the DHB has not closed the door on reclaiming more in the future.

Macpherson sent a series of questions on the spending scandal to acting chairwoman Sally Webb on Sunday, including why Simcock did not disclose the advice to the full board.

"We wouldn't have known about it had Geoff Short not taken notes of the discussions with Simcock."

Macpherson asked whether Simcock passed the advice to board members on the remuneration committee when it met on September 29 to hear the draft report.

At the time the remuneration committee was made up of Bob Simcock as chair, Webb as deputy chair, Sally Christie, Tania Hodges and Crystal Beavis.

Macpherson also said he was no longer prepared to discuss the topic in secret.

"Half the time no-one is aware that these issues are being raised on the public's behalf as it's done behind closed doors."

Webb said she and other board members she questioned on Friday over the SSC advice did not remember Simcock making it known.

"We have no recollection of that being passed on to us. I don't know if it would have changed the decision but we would certainly have stopped and discussed the impact.

"If we had thought the Commissioner said we should dismiss him, not allow him to resign, that would have been part of the discussion and the thinking."

She and Simcock previously said the board agreed to Murray's resignation because they thought it was best for the organisation and it was the legal advice given at the time.

But former Labour MP Sue Moroney, who warned Simcock not to hire Murray in mid-2014 because of his leadership style, called for some board members to be sacked on Friday.

Moroney said the appointed members, of which Webb is one, failed in their core duty to protect the public interest when they allowed Murray to resign.

Webb said some of Macpherson's questions would be discussed in public and some were too sensitive and would remain in public excluded.

She would not respond to them to media before Wednesday's monthly meeting.

Simcock has not responded to questions about the SSC advice.