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Housing Corporation

The allegations contained in Friday's Mid-Ocean News report on the Bermuda Housing Corporation seem to have given ample justification for an independent inquiry into the organisation.

The documents reported on by the Mid-Ocean News show that in 2001 a painter was paid $800,000, a gardener received $68,564 and a carpentry firm received $487,193 during a seven-month period.

These are the kind of figures that deserve an explanation and raise serious questions about the administration of the Corporation and its overseers.

What is worrying is that these documents were revealed just days after Health Minister Nelson Bascome reported that "only" two instances of wrongdoing (not the payments revealed by the Mid-Ocean News) had been uncovered within the Corporation.

He also gave the sense that was all that was going to be revealed.

Indeed, according to Mr. Bascome, the Corporation had spent most of its time cleaning up the mess left by the former United Bermuda Party Government.

He was also quick to criticise Shadow Minister Michael Dunkley for his criticisms of civil servants.

The revelations in the Mid-Ocean News have changed all of that.

Mr. Bascome has announced a wider investigation by the Auditor General, and rightly so.

What he has not done, at least not on the floor of the House of Assembly early on Saturday morning, is to explain why these contractors were paid so generously in 2001.

That is worrying.

It leaves open the concern that this, as Mr. Dunkley said, is only the tip of the iceberg and that problems with bidding and tendering are much wider than they first appeared.

On that basis, the following steps must be taken:

The "internal inquiry" by the Housing Corporation must end immediately to ease fears that it may be more of a cover-up than an inquiry.

The inquiry by the Auditor General should be broadened and must continue on the terms set out by Mr. Dunkley who has called for every contract awarded by the BHC to be investigated, from the time the job was put out to tender to the time it was completed.

He has also called for the independent investigator to find out if any loans or extraordinary payments had been made by the BHC to past or present employees or contractors and to fully examine the reason for any employee dismissals or suspensions.

In the meantime, the Police should be called in to ensure that no criminal activity is connected with the grant of tenders or payments.

That is essential to restore public confidence in the Housing Corporation.

It is extraordinary that it has not been done already.

The reports must be made public and should be presented to the Public Accounts Committee of the House of Assembly, again to ensure confidence in the process.

If a bi-partisan committee accepts the report, then there is no reason to doubt it.

If it is sent to a Minister for comment, or is allowed to sit on a Minister's desk, there is a risk that it will never be made public, in spite of promises from Mr. Bascome.

Regrettably, the Government's record on releasing reports is so dismal that it simply cannot be trusted to do so in this case, which may turn out to be politically sensitive.