Leanne Cover, CEO of the Canberra Institute of Technology, is being paid her salary of nearly $319,000 while on directed leave, ACT Estimates hearings revealed today.

Ms Cover was stood down in June until the ACT Integrity Commission finalises investigations into her nearly $9 million contracts with ‘complexity and systems’ consultant Patrick Hollingworth since 2017.

But Canberra Liberals leader Elizabeth Lee said today’s Estimates hearings cleared nothing up.

“It’s incredibly disappointing that despite a whole morning of Estimates hearings, the community is none the wiser in terms of what has happened with CIT and the very concerning contracts – almost $9 million of taxpayer funds that have gone to one contractor, to five services under a contract that was so unintelligible that even to this day no-one can explain what the services are.”

• Integrity commission to review CIT contracts (23 June)
• Chris Steel will use ministerial powers to direct CIT (17 June)
• Elizabeth Lee: CIT internal review ‘rings alarm bells’ (17 June)
• CIT promises independent audit of multi-million Think Garden contract (15 June)
• CIT’s $9 million contracts a concern for taxpayers (7 June)

Skills minister Chris Steel signed a ministerial direction on Thursday, made in consultation with the CIT Board Chair. It requires the Board to ensure it has financial management systems that ensure it receives reports on expenditure, and detailed information about training activity, delivery and costs. The Board must be informed of any procurements for goods and services over $1 million, or consultancies of over $500,000. The direction requires the CIT to consider advice from the Government Procurement Board. Any proposals to depart from the advice of the Government Procurement Board must be reported to the CIT Board. Finally, the direction requires the Board to review its charter and policies annually to ensure appropriate and current governance documentation.

Ms Lee asked: “What is the role of the board if the minister is required to make such directions? Let’s not forget that this is the minister for who months was saying that he’s at arm’s length, and it’s up to the board as an independent board that’s making decisions. If it requires a minister to put into a ministerial direction, detail including the threshold of procurements that are required to be reported to the board, what does that say about this minister’s confidence or faith in the board to undertake its job?”

The board approved Ms Cover’s procurement. Former chair Craig Sloan has been succeeded by deputy chair (and former Labor Senator) Kate Lundy, to Ms Lee’s concern.

“It is astounding that the minister continues to state the CIT Board has been ‘refreshed’, despite the appointment of the chair being made in May last year, who served as deputy chair throughout most of these contracts,” Ms Lee said.

The opposition leader also accused Mr Steel of refusing to answer questions in Estimates Hearings about the CIT contracts.

Mr Steel said he could not comment while the Integrity Commission investigated.

“Ms Lee is asking me to provide information that is possibly relevant to an investigation being conducted by the Integrity Commission,” he said.

“The Canberra Liberals should understand the duty on me, and themselves, to not hinder or interfere in the conduct of that investigation.

“The ACT Integrity Commission should be allowed to conduct its investigation free from interference. Staffing arrangements are a matter for CIT.”

“Despite hours of questions, we have seen this minister either refuse to answer on the basis that there is a current Integrity Commission enquiry, or every single person who attended the hearing not being able to answer the questions,” Ms Lee said.

For instance, she claimed, she had asked Mr Steel about his role and responsibilities as minister, and about his communications with Chief Minister Andrew Barr.

“This is not acceptable, and the Canberra public have every right to be concerned about the lack of information and transparency and accountability that is coming from this Labor-Greens government on this very serious issue.”

Ms Lee argued that Mr Steel’s refusal to answer any questions relating to the contracts in Estimates Hearings pointed to a culture of secrecy being fostered within the Labor-Greens government.

“While these contracts are the subject of an Integrity Commission investigation, there is no reason the minister cannot answer simple questions, such as what conversations he had with the Chief Minister when he was handed the portfolio in early 2020,” Ms Lee said.

“After an entire morning of Estimates Hearings on CIT, there are now more questions than answers regarding the contracts, and the public is none the wiser.

“Canberra taxpayers deserve answers from the minister regarding his role and performance, but he continues to hide behind the investigation to not be upfront with the public.”

Questions were also taken on notice regarding contracts between CIT and KPMG for consulting work between 2016 and 2018 during the tenure of the former CIT Chair, a senior KPMG partner, Ms Lee noted.

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