27 November 2023

CIT still likely spending more than $700,000 a year on two CEOs while Integrity investigation continues

| Lizzie Waymouth
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woman standing in the street

CIT CEO Leanne Cover has been stood down for the duration of the investigation. Photo: File.

The Canberra Institute of Technology (CIT) is still paying two CEOs, meaning the institute is likely spending over $700,000 on its chief executives per year.

CEO Leanne Cover received a 3.5 per cent pay rise earlier this year despite being stood down since June 2022 while the ACT Integrity Commission investigates CIT’s contracts with “complexity and systems thinker” Patrick Hollingworth.

According to the Australian Capital Territory Remuneration Tribunal, the CEO of CIT is now awarded a base salary of $340,561 and a total remuneration package of $373,061.

The pay increase occurred at the start of this financial year when the independent tribunal raised the salaries of full-time statutory office holders, including the Victims of Crime Commissioner and the CEO of Legal Aid ACT.

At the same time, CIT is paying Melbourne-based Christine Robertson as interim chief executive.

“We have an interim CEO, Christine Robertson … and the CEO is still on paid leave as the board has determined that is the appropriate action to allow procedural fairness to unfold,” Kate Lundy, chair of the CIT board, told an annual reports hearing on Friday (27 November).

“As we all know, the matter is still with the Integrity Commission.”

Asked exactly how much the CIT is spending on its two CEOs, Ms Lundy said she would have to take the question on notice to confirm the specifics.

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Integrity Commissioner Michael Adams KC told annual report hearings earlier this month that the corruption watchdog is close to releasing the first findings from its investigation into the consultancy contracts awarded to Mr Hollingworth.

Over five years, over $8.5 million was given to his companies, ThinkGarden and Redrouge Nominees Pty Ltd, for services including mentoring and organisational transformation.

The last and most significant of those contracts was worth $4.99 million and was signed in March 2022, four months after the Integrity Commission first received a complaint.

Mr Adams said the first findings will focus on a particular area of concern, and there will be more to come in the future.

“There’s already been a great deal of work on the wider investigation, but much work still has to be done in that area,” he explained.

Asked whether the findings of the first report would affect Ms Cover’s position, Mr Adams did not want to comment.

“I don’t think I should disclose that one way or another, I’m afraid,” he said.

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Ms Lundy said she was unable to answer how much longer Ms Cover would remain on leave.

“I think we’re all hopeful that the Integrity Commission is drawing its investigation to a close and we’ll hear soon. I’m sure the Integrity Commission is very aware of the challenging situation this extended period of time has put the CIT in,” she said.

“That said, we also, in the very first instance, respect completely the Integrity Commission’s role in investigating this in this way they see fit.

“We’re all hoping we’ll hear from them soon.”

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Daniel Rackshack1:10 pm 28 Nov 23

The rot of this government is endemic. The sense of entitlement and power someone feels to try and get away w something like this. It is astonishing how many outstanding reviews the Integrity Commission is conducting into the activity of this Government and their public service, not to mention the audit office too

The incompetence of the ACT Government not to sort this out speedily is mind boggling. $700,000 on two CEOS while the homeless numbers keep rising.

I agree there should be repercussions for the CIT’s contracting processes and it has certainly given the Liberal party supporter trolls ammunition, but we have an Integrity Commission for a reason Penny Moyes who operate independently from the government without interference.

And so it should be!

William Newby6:20 am 28 Nov 23

What a disgusting result so far, how much rot and corruption must there be if after almost two years they are still busy uncovering the mismanagement and careless spending of our taxes at this one school.
I would guess any decision on this will be late 2024 (post the election).
The way this town runs EVERYTHING is costly, inefficient, and incompetent.

Sounds like a culture of entrenched top-level corruption and incompetence. What a pity there’s no real way to curb these people. They just do what they want.

If a corruption investigation actually finds corruption in some strict and narrow sense (as opposed to what’s obvious and evidently corrupt by a common sense definition), I bet there’ll be the lightest of consequences, because if there is one “structural” inequality in this society, it’s that the lower your social class, the greater your punishment; while the ruling classes almost always avoid consequences.

Stephen Saunders4:53 pm 27 Nov 23

A year and a half, on a rising salary, while an “integrity” commission checks you out. Ordinary wage-slaves could only dream of that kind of “accountability”.

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