Greens cock-a-hoop over crackdown on gifts

Iain Rennie. Photo / Mark Mitchell

The Green Party claimed victory yesterday after the Treasury toughened its policies on key staff accepting lavish gifts and hospitality from the large banks that compete to lend billions of dollars to the Government.

State Services Commissioner Iain Rennie said the Treasury's record on hospitality and gifts was of concern, following a recent review of government departments' policies.

That review found many agencies limited the acceptance of gifts and hospitality to avoid undue influence or conflicts of interest, but Mr Rennie said he had concerns "about a number of instances where some agencies do not appear to have followed what I regard as appropriate practices".

"These instances have clearly not met the standards I and New Zealanders expect of an impartial state services."

That appears to be a reference to the concerns raised by the Greens this year that staff at the Treasury's Debt Management Office were enjoying frequent "treats" from large banks, including lunches, dinners and theatre and sports tickets.

The office borrows money on the Government's behalf and holds regular bond tenders, where banks compete to lend that money.

Greens co-leader Russell Norman said banks extending hospitality wanted something in return, and a small change in the terms of multimillion-dollar loans to the Crown could have a big influence on the final cost of borrowing to the taxpayer.

"I think the Greens did a good job to raise these issues and in spite of the Government's denials there was any real issue, actually there is. The State Services Commissioner has shown his independence ... and said it's got to stop and it's got to change."