Thursday, 5 August 2004
Copeland slams $3.6m forestry 'donation'
The recklessness of the Government's latest $3.6 million "donation" to the embattled Taitokerau Forest Ltd is best
illustrated by the fact that commercial lenders wouldn't go near it with a barge pole, United Future revenue spokesman
Gordon Copeland said today.
The company already owed the taxpayer $50 million, and under questioning from Mr Copeland, Finance Minister Michael
Cullen revealed in Parliament that the Government has now stumped up a further $3.6 million.
"Every sign around this latest deal looks bad. The banks won't touch it, and the Government is throwing more and more
public money into a huge hole," Mr Copeland said.
"The Government is effectively making itself the banker of last resort to a mismanaged company.
"Since the $53.6 million secured by mortgage, the Government should exercise its rights, sack the board and management
and take the show over," he said.
ENDS