Fed: Child welfare change just a diversion, Swan says

AAP General News (Australia)
12-04-2005
Fed: Child welfare change just a diversion, Swan says

CANBERRA, Dec 4 AAP - Treasurer Peter Costello is using a child welfare proposal to
distract attention from the Robert Gerard controversy, opposition treasury spokesman Wayne
Swan says.

Mr Swan said today it was passing strange that Mr Costello announced a proposal to
divert child welfare payments from irresponsible parents so soon after Mr Gerard, a prominent
South Australian manufacturer and Liberal Party donor, resigned from the Reserve Bank
board over tax irregularities.

"I don't think that there is any doubt that it's a diversion from his problems over
Mr Gerard," Mr Swan told the Ten Network.

He also said Labor would continue their attack against Mr Costello in parliament this week.

"This treasurer does not know right from wrong," he said.

"He knowingly appointed Mr Gerard and he knew that Mr Gerard was involved in tax havens,
that there were serious allegations of tax avoidance.

"He did that in the full knowledge of those events and this week in the parliament
continued to defend the appointment."

Mr Swan refused to be drawn on what changes a Labor government would make to ensure
party donors and cronies did not get places on the central bank's board.

He argued that appointees must be independent despite previous Labor government appointees
including former prime minister Bob Hawke and ACTU secretary Bill Kelty.

"We're looking at all these issues, I can assure you we will change the system and
I can assure you that you will hear a lot more from Labor about that," he said.

Mr Swan said federal Labor would also oppose any move to appoint Victorian businessman
Ron Walker to the board.

"He has been federal treasurer of the Liberal Party," he said.

"He has raised millions and millions of dollars for the Liberal Party.

"It seems to be the new qualification for appointment to the Reserve Bank board is
that you must be a Liberal party donor. We think that is entirely inappropriate and it
doesn't uphold the high standards that are required."

AAP jcg/cat/de

KEYWORD: WELFARE SWAN

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