THE Newman Government has fallen out with Seqwater bosses over their planned response to the flood inquiry.
The Courier-Mail can reveal that after the inquiry handed down its report last month, the dam operator drew up a press release that refuted some of the inquiry's findings and made no mention of the inquiry's referral of two of the organisation's employees to the Crime and Misconduct Commission.
Senior Seqwater officials last week took the document to Treasurer Tim Nicholls seeking his endorsement so they could make the document public, but he refused.
"The Government did not agree with certain elements of the draft media release, including the version of events put forward by Seqwater given the findings of the commission and testimony at the commission hearings,'' a spokesman said.
"The draft media release provided no mention of the fact that staff from Seqwater were referred to the CMC for investigation, meaning the release was not balanced.
"We don't think it's appropriate for a government authority to refute the findings, which the Government has accepted in full.''
The row comes as flood victims, insurance companies and class-action lawyers chasing compo payouts watch for signals from the new Government as to whether it will admit fault or force an expensive legal fight.
The Premier is under pressure not to backtrack on a pre-election promise to treat flood victims fairly.
His predecessor, Anna Bligh, on receiving the inquiry's report, similarly promised Seqwater would be a "model litigant''.
Mr Newman on Thursday said he stood by earlier statements that "all flood victims will be treated fairly and equitably''. He would not be drawn on whether the Government would set up an "ex-gratia'' scheme to compensate flood victims.
It is understood that Seqwater's own insurers backed the proposed media strategy. They could be on the hook for hundreds of millions of dollars if legal action proved the company was negligent in 2011.
The Water Grid Manager, the parent body for Seqwater, said this week: "Given the circumstances, including the ongoing investigation by the CMC, Seqwater does not presently intend to make any public comment on the Commission of Inquiry Final Report.''
www.CourierMail.com.au
7.4.12
COMMENT: This is disgraceful. What part of "model litigant" does Seqwater not understand? It seems as if Seqwater - and its insurers - are driven by the almighty dollar and sheer greed as they fight the legitimate claims of flood victims. Given this latest fiasco, it is time for heads to roll in Seqwater. Seqwater CEO Peter Borrows could do worse than quietly step down to allow the likely upcoming class action to proceed in a fair and timely manner without the monotonous "we did nothing wrong" which pervaded the Floods Inquiry. - PaulGTully@gmail.com
