Hamgate: Photos add spice to contract row

Bernie Sheary accepted a ham at a Fillmore Christmas party. File photo / Hawkes Bay Today

The member of a council tender evaluation panel who accepted a free ham from the winner of two footpath contracts worth nearly $20 million had photographs on his desk showing further links between him and the contractor.

Bernie Sheary, the Auckland City Council's footpath contracts manager, had two mounted photos on his desk as a memento of a rally day hosted by John Fillmore Contractors at Maramarua on August 8 last year.

The first photograph showed Mr Sheary at the wheel. The second photograph showed the rally car.

Superimposed over the car photograph were the words: "Certificate of achievement. Presented to Bernie Sheary. Sponsored by JFC Ltd for completion of their adrenalin day at Rally Drive NZ."

In his private life, Mr Sheary is treasurer of the Waikaraka Family Speedway.

The transport committee, which yesterday heard the details of the photographs, delayed awarding the two footpath contracts and eight other transport contracts with a combined value of $118 million until an independent review of the process to satisfy councillors that proper process was followed.

Transport chairman Ken Baguley said he did not believe anything improper had occurred in the transport department, "but the sequence of events around Bernie Sheary have the appearance of underhand dealing and this needs to be cleared up.

"The process around the awarding of contracts needs to be made more transparent and open," he said.

This could include all contractors having to sign a form saying they had offered no inducements and did not know of any conflicts of interest.

Transport general manager Don Munro said Mr Sheary revealed at the time he joined the evaluation panel, about September last year, and signed a conflict-of-interest form that he had worked for Fillmore up until May 2007.

But he had not mentioned the rally day.

Mr Munro said Mr Sheary attended a Fillmore Christmas Party in December where he accepted a ham.

In late January/early February, as a result of Herald inquiries, council officers became aware of the ham and removed Mr Sheary from the four-person evaluation panel.

Asked if Mr Sheary should have been on the panel in the first place, in view of his previous employment with Fillmore and the rally incident, Mr Munro said it was a "borderline" call that "in hindsight was not a good call".

Mr Sheary is on holiday and due back at work next week where he will be given an opportunity to explain his side of the story.

He has been in touch with council officers by telephone.

HOW THE EVENTS UNFOLDED

2006- May 2007: Bernie Sheary is employed by John Fillmore Contractors managing footpath contracts.

2007: Sheary goes to work for Waitakere City Council.

mid-2008: Sheary joins Auckland City Council as footpath contracts manager.

August 8, 2008: Sheary is hosted at rally day by Fillmore.

September/October 2008: Sheary chosen to go on footpath tender evaluation panel and signs conflict of interest form.

December 2008: Sheary attends Fillmore Christmas party and accepts a ham.

Late January/early February 2009: Officers hear about ham gift and remove Sheary from evaluation panel.

March 2009: Mayor John Banks and transport committee put tender contracts on hold.