Page 1991 - Week 07 - Wednesday, 15 June 1994
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Mr Williams agreed, and the confidentiality agreement was executed and returned by fax to VITAB. No legal advice was sought as to the wisdom of signing the agreement or as to its content. The effect of signing this agreement was to limit markedly the ability of ACTTAB to make any inquiries about Mr McMahon and Mr Kolomanski, or the proposal that was under discussion. There is no question, Madam Speaker, that the haste with which this agreement was signed was regrettable.
A lengthy discussion in this section of the report also relates to the probity checks that Mr Berry, the former Minister for Sport, requested on 23 July 1993, and which were ultimately not looked into further until early 1994. It will suffice for me to say that the checks should have been made, and that there appeared to be general confusion about what actually constituted probity checks.
The next section of the report deals with ACTTAB's further involvement in the agreement. It is here that VicTAB's agreement to the ACTTAB-VITAB contract is discussed by Professor Pearce. Here I am quoting from page 15 of my confidential copy of the report. The page number is probably not the same as in the report that has been presented to this Assembly today.
Mr Moore: The paragraph numbers are the same.
MS SZUTY: Thank you, Mr Moore. It is at the bottom of paragraph 63, and paragraph 64. It reads:
No formal statement in writing to that effect was obtained.
This is about the link of ACTTAB with VicTAB through the VITAB contract. The report continues:
Nonetheless, the confidence of both ACTTAB and VITAB in their understanding of the position is evidenced by their concluding of the contract. Access was the crucial element in the bargain and without it no contract would have resulted.
64. It is important, however, to put this in context. First, a formal amendment of the agreement between ACTTAB and VicTAB would have been at least desirable and perhaps legally essential to qualify the ability of VicTAB to terminate the agreement on 6 months notice and without giving reasons. Second, VITAB were setting up in opposition to VicTAB's Vanuatu outlet. One would have thought that this might have been expected to qualify VicTAB's enthusiasm for ACTTAB's joint venture with VITAB and led to ACTTAB and VITAB taking great care to be sure of VicTAB's position.
Again it will suffice for me to say here that greater care should have been taken to secure VicTAB's agreement to the ACTTAB-VITAB contract. The report then sets out departmental further involvement in the agreement, and is followed by a section called "After the Agreement". It is significant that VITAB commenced operations in Vanuatu
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