TCCI: Pay it back …

TCCI Funding Update

The Minister for Economic Development, David O’Byrne, today provided an update on the status of funding provided to the Tasmanian Chamber of Commerce and Industry to deliver various Government programs.

The TCCI has a contractual arrangement with the Department of Economic Development, Tourism and the Arts (DEDTA) regarding the NBN Industry Assistance Package.

As this stage, the TCCI has received $250,000 (plus GST) under this arrangement which, as with all government grants, carried an appropriate legal grant deed and compliance obligations.

“I was advised last Friday by DEDTA that an anomaly had been identified by the TCCI during an internal review of this grant funding and its expenditure – specifically, that some $130,000 from this grant funding may not have been used for the purposes stated in the grant deed,” Mr O’Byrne said.

“Those indications have since been established as fact. Accordingly, the TCCI has now reimbursed the grant trust account to the full amount of $130,000.

“DEDTA is continuing to scrutinise all grants to make certain they comply with their contractual obligations,” he said.

• TCCI …

Media Statement – Expression of Interest

The TCCI has announced an expression of interest period has been opened for the
sale of their Burnett Street property.

TCCI Chairman Andrew Heap said the decision to open the EOI process came as
a result of announcements made earlier this month regarding the direction of the
organisation.

“Since our announcement that we intend to sell our real estate holdings, we have
had a number of parties interested in our Burnett Street facility,” Mr Heap said.

“Given this interest and our desire to sell the property, we have opened a short
Expression of Interest period designed to ensure we achieve the best result from
the sale.”

Mr Heap said the Expression of Interest period would conclude on May 25 and
interested parties are asked to contact TCCI CEO Neil MacKinnon.

• Media Statement – NBN

TCCI CEO Neil MacKinnon today confirmed that due to a TCCI internal review of
grant funding received from the State Government as part of the NBN Industry
Assistance Package, some $130,000 had been returned to the NBN Project Trust
Account.

• Media Statement – Board

Newly elected Chairman of the TCCI, Andrew Heap, has announced a number of
changes to the organisation at a Board level.

As a result of a Board meeting today, at which Troy Harper announced his decision
due to business and family commitments to stand down from the role of Chairman
but continue on the Board, Mr Heap was unanimously elected Chairman.

In addition, long serving Board members Martin Rees and John White tendered
their resignations after legal advice highlighting a technicality in the TCCI
Constitution, which precluded their continuance on the Board due to their length of
terms already served.

Mr Heap paid tribute to Mr Harper for his courage as Chairman of the Board that
had lead to the organisation dealing with the issues it faced, head on.

“I have worked closely with Troy in recent months and accept that business and
family pressures have triggered his decision to stand aside, but I look forward to
his wise counsel as a Board member over the coming months,” Mr Heap said.

“It was with great regret that the Board accepted the resignations of Martin Rees
and John White, who have served the organisation in a voluntary capacity for many
years and been fierce supporters of business in Tasmania.

“Unfortunately as part of getting the organisation’s house in order, the anomaly in
the constitution has been revealed.”

Mr Heap said the organisation would now work to select appropriate replacements
for the two Board members.

“Regardless of these developments, the Board and management of the TCCI
remain committed to ensuring this organisation continues to represent and
articulate the best interests of the Tasmanian business community,” Mr Heap said.

Andrew Heap is Managing Director of commercial real estate firm, Shepherd Heap
and is President of the Scotch Oakburn College Foundation as well as Chairman of
The John Glover Society.