KEY POINTS:
State Services Commissioner Mark Prebble has buckled to pressure and agreed to have someone independent investigate the public service's actions in the Madeleine Setchell employment case, including his own role.
That turnaround came after advice from the Department of the Prime Minister and Cabinet, State Services Minister Annette King and Solicitor-General David Collins, QC.
Prime Minister Helen Clark said yesterday her department's concerns were constitutional in that the State Services Commission "should be seen not to be judge and jury on itself".
Dr Prebble yesterday announced that former State Services Commissioner Don Hunn would join his inquiry. Effectively, Mr Hunn will conduct the real inquiry, from which Dr Prebble will write a report.
David Benson-Pope resigned as Environment Minister after denying he had given ministry head Hugh Logan his view on Madeleine Setchell's appointment as communications manager.
He had actually told him he would be less free and frank with her in the office because her partner works for National leader John Key.
Mr Logan told Dr Prebble of the conversation - but two months later - and neither man mentioned it toacting commissioner Iain Rennie two months later, when he was preparing a briefing for Ms King.
Nor did Dr Prebble mention it in an article he wrote for the Dominion Post from abroad.
The importance of the conversation is that if it had been disclosed in Dr Prebble's article on July 19 or in Mr Rennie's report to Ms King that was publicly released on Friday, July 20, Mr Benson-Pope would not have been able to suggest it had not happened, as he did on July 23 in interviews with journalists.
The conversation was reported to Helen Clark on July 25. Mr Benson-Pope, on her advice, declared it in Parliament the next day. He resigned the day after.
Dr Prebble returned from overseas last week to a barrage of criticism over conflict of interest when he said he would conduct an inquiry into the public service's role in the matter.
But Helen Clark yesterday expressed confidence in Dr Prebble. She said he was an honest man and that while he forgot a conversation he had had two months ago until reminded of it by Mr Logan, "that in the end isn't a hanging offence".
She believed Dr Prebble did not deliberately cover up information but simply forgot it.
"As someone who is constantly challenged to carry enormous amounts of information in my head, I've got some sympathy for others.I don't think it was a deliberateomission."
Both Dr Prebble's and Mr Hunn's reports are expected to be made public.
INQUIRY TEAM
Don Hunn
Former State Services Commissioner will conduct an inquiry into the Madeleine Setchell employment case.
Mark Prebble
Current commissioner will write the report. The arrangement is to ensure the commission should be seen not to be judge and jury on itself.
