Shadow Housing Minister Michael Dunkley yesterday accused the PLP Government of attempting to cover up the truth of the recent accusations of scandal and corruption at the Bermuda Housing Corporation.

Mr. Dunkley's claimed Minister with Portfolio Neletha Butterfield had glossed over the "gross mismanagement" of the BHC over the past four years when she presented the Housing Ministry's budget in the House of Assembly yesterday.

Ms Butterfield told the House: "We all know of the recent challenges (to the BHC) ... We have given Police full access to all documents and will continue to cooperate."

In the meantime, she added, the necessary financial controls were now in place.

"When the crisis first came to light top management were suspended," she said, and outside civil servants took over the top posts. "We now have a team in place meeting the challenges, well down the road to recovery."

She added that a review would take place over the next few weeks to develop a new structure to carry out the BHC's mandate, but added she believed the BHC was already on a "solid and firm footing", with proper procedures and controls now in.

And, at the very end of her brief, she praised BHC staff for being able to carry out their duties in light of the controversy over alleged kickbacks and corruption in the Corporation.

But Mr. Dunkley slammed Ms Butterfield for failing to give more detail on how the BHC was being reformed.

"For the Minister to come here today and paint a glossy picture (of the BHC scandal) ... and not to give more detail on how it is to be cleaned up is a cover-up to the best degree," he said.

And he claimed that the Ministry of Housing was created last October not because then-Health and Housing Minister Nelson Bascome had too much on his plate, but "as a cop-out trying to cover up blatant inattention and gross negligence by the former Minister and the Smith Government.

And in any Government "genuinely accountable to the people", he added, a Minister who has performed as Mr. Bascome did as Minister of Housing would have been replaced long ago.

During last year's Budget debate, Mr. Bascome gave a "glowing report" on the BHC, said Mr. Dunkley.

"We as the Opposition then proceeded to blow that report away and illustrate that in fact the BHC was operating inefficiently with many of the previous checks and balances not being followed.

"It was plagued with corruption and mismanagement of funds ... History has proved us correct in every allegation to date; the Auditor even handed in a report that went further and presented more allegations.

"And now a new Ministry of Housing has been created. It was not planned, it was not accounted for in the last Budget, it is a sorry excuse by the Smith administration that has lost all direction and common sense."

With no sight of actual charges being laid against BHC suspects, and with rumours circulating about arrests within the highest levels of Government, and the involvement of Scotland Yard in the matter, Mr. Dunkley said: "There has been an abundance of outcry but minimal outcome".

He said the BHC was required to submit an annual report to the Minister on the activities of the Corporation no later than six months after each financial year, and that the Minister should then lay the report before the Houses of Legislation accompanied by an Auditor's report.

But the reports were now two years late, he said.

"In addition after the uncovering of the Enron of Bermuda it is only fitting and appropriate that full reporting and compliance is given to assure the public we are back on the road to recovery," he said.

"This has not been done. So I have to ask the question: `Is there still something to hide?'

"Could it be that the BHC is still in such a mess that the Government is unwilling and unable to provide the information as required by law?" he asked. "Or is this Government so incompetent that reports can't be done on time?"

Government MP Delaey Robinson shot back: "The attack on the BHC really comes because they have been too successful."

Accusing Mr. Dunkley of "bringing out all the troops, including The Royal Gazette", Mr. Robinson said the "chest-beating" had gone too far.

And, declaring that the Auditor would again prove to be the tool to assure the public the BHC is now operating properly, Mr. Robinson said: "Keep your eyes open for future Auditor's reports. You can hardly describe the PLP Government's address on housing as `minimal outcome'."