Mallard checks his mandate for disciplining wananga

Te Wananga O Aotearoa has reduced the role of chief executive Rongo Wetere as the Government looks at how it can intervene in the institution's operations.

The wananga's 20-member board also agreed at a special meeting on Thursday to replace the group's chief financial officer, Louise Berney.

The meeting was called after a week of accusations made under parliamentary privilege by Act MP Ken Shirley.

Education Minister Trevor Mallard said he was taking the allegations "very seriously" and had asked the Ministry of Education about his options for intervention.

"There is a large amount of taxpayers' money involved in this ... I do want to make sure that the proper controls are in place," he said.

Dr Wetere said yesterday that the board had moved to replace the chief financial officer, but he would not detail the reason.

Board members also decided that an operational manager would be brought in to handle the day-to-day running of the Te Awamutu-based tertiary education provider, he said.

The new role, reporting to Mr Wetere, would allow him to focus on the organisation's "political and strategic direction".

The Herald today details how Te Wananga owns a pub and a hotel in the Waikato, as well as a unit at Whangaparaoa's Gulf Harbour for visiting tutors and contractors - even though its closest campus is in South Auckland, more than an hour's drive away.

Mr Mallard has asked for advice on what powers of intervention the Government has under four separate acts of Parliament. 

But Mr Mallard said that before he intervened, he wanted to see the report of the Auditor-General, who since last year has been looking into allegations of conflict of interest.

"Any action taken will depend on the seriousness of any evidence that is provided that backs up the allegations we have been hearing," the minister said.

Mr Shirley said the wananga was taking the right steps, but the "horse has already bolted".

He said it was the Government that should be held responsible.

The Weekend Herald also understands that Mr Wetere came in for criticism from the board for outspoken comments against Mr Mallard.

Mr Wetere responded to a question by TV One this week, about whether he should resign, by suggesting Mr Mallard should stand down.

Mr Wetere has challenged Mr Shirley to make his allegations outside of parliamentary privilege.

"We have had six audits in the past 18 months. We are the most-audited organisation in the country."

- additional reporting: Ainsley Thomson