Help for Maori trusts praised

By JON STOKES

The head of the Waitangi Fisheries Commission has applauded a move to strengthen governance within Maori trusts, as long as the calibre of trustees is also addressed.

Te Puni Kokiri (the Ministry of Maori Development) has this month launched three initiatives to strengthen Maori trusts, incorporations and companies.

They include a website with information on effective governance and a national roadshow seeking feedback to proposed changes to Maori governance structures.

Shane Jones, chairman of the fisheries commission (Te Ohu Kaimoana), said the number of high-profile stoushes and financial scandals in trusts showed the initiative was overdue.

"In the past 10 years we have seen substantial transfer of capital to iwi organisations such as Ngai Tahu [$170 million], Tainui [$170 million] and Taranaki's Ngati Ruanui [$41 million]."

In August a bitter feud erupted between Ngati Ruanui's leaders over control of the tribe's assets, now worth $38 million, with accusations flaring of financial mismanagement and poor governance.

Tainui's road to sound governance has been a rocky one, with the tribe recovering from near bankruptcy in 2000 to post an almost $16 million profit this year.

Mr Jones said with the fisheries commission set to distribute around $400 million to more than 50 iwi organisations over the next few years, it was imperative that lessons of the past were learned.

"While I applaud moves to strengthen governance and the quality of the decision-making process, more focus needs to be given to improving the quality of the decision makers."

He said it was important that iwi organisations became aware of the variety of skills needed to run an effective board.

Te Puni Kokiri project leader Emma Eastwood acknowledged that the initiative was long overdue. She said it was also driven by a need to find solutions to governance issues unique to Maori organisations, which have shareholders based on whakapapa (ancestry).

An 80-year limitation on private trusts also raises problems for Maori-based structures, which generally want to allow the smooth transfer of assets through generations.

The existing policy of dividing the trusts' assets among shareholders at the end of 80 years did not meet iwi, hapu or whanau needs, Ms Eastwood said.

Roadshow workshops continue until December 24.

Te Puni Kokiri