Legal action to recover client information

Development West Coast is undertaking legal action to recover confidential information leaked to unauthorised parties. Some of those parties have promoted the Protected Disclosures Act as the authority for breaching client confidentiality and copying client information.

Development West Coast has no issue with an originating party utilising the Protected Disclosures Act. However, that Act is very specific about protecting the confidentiality of the information right through the process to delivering it to the appropriate organisation, which in this case is the Office of the Auditor General.

We require an explanation as to how this information was also copied to inappropriate parties such as the Greymouth Evening Star and candidates for election as Trustees. It is this latter issue that is of concern to Development West Coast.

Development West Coast has therefore contacted all parties who have acknowledged holding in full or part any of our documents and requested the return of the copies, destruction of any electronic files and the name/s of the person/s who distributed the information unlawfully to them.

We respect the right of the Audit Office to evaluate matters raised by any parties under the Protected Disclosures Act and to decide if they merit review. Rather than await a decision whether to proceed, we have specifically invited the Office of the Auditor General to review and report on the information provided to them, as Development West Coast is happy to be completely transparent and accountable.

Development West Coast has very strong internal controls and audit processes. Its internal audit programme is undertaken by external Chartered Accountants and the annual audit by Audit New Zealand.

Since inception DWC has received unqualified audit reports and has also had a very positive detailed performance review, which was released in 2006. Most recently, it has completed a successful and complementary operational review, which was carried out by Treasury on behalf of the Settlor.. We are confident there are no matters of substance or concern, and confirm the Trust’s financial performance and position continues to be very strong. We are confident the outcome of any Office of the Auditor General review will again be favourable. Development West Coast is undertaking legal action to recover all confidential client information, as it is essential to maintain the integrity of the organisation and provide assurances of client confidentiality.

We regard it as entirely improper for any party to have copied information to anyone other than the Office of the Auditor General. The decision taken to initiate legal proceedings is a responsible reaction by the Trust’s management to ensure that the Trust’s confidential information remains confidential. Both this step and the review currently being undertaken by the Office of the Auditor General are following due process. Until the outcome of both enquiries is know, any media comment about either issue is pure speculation.

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