Kal'ang centre’s directors may be stood aside
KAL'ANG Respite Care Centre has been told to show cause why it should not be put under special administration, after an examination of its books was carried out last month.
The organisation has until this Friday to respond to the Office of the Registrar of Indigenous Corporations to show why that action should not be taken.
Anthony Bevan, the Registrar of Aboriginal and Torres Strait Islander Corporations, said Kal'ang was entitled to a period of "natural justice" where the organisation would be able to respond to the letter.
He said the organisation had been made aware of the concern surrounding the governance of finances at the centre.
Kal'ang was contacted by the Chronicle for a response, but no comment was given.
Mr Bevan said usually about 50 examinations, both targeted and random, were carried out each year.
He said he did not know how long it would be before a decision would be made, as it would depend on what Kal'ang submitted in response to the notice.
If a special administration went ahead an external person would be appointed, usually an accountant, and the directors would be stood aside, Mr Bevan said.
The letter addressed to Kal'ang was sent from Ruth Jones, a delegate of the Registrar of Aboriginal and Torres Strait Islander Corporations, outlining what could happen.
She wrote that she was considering putting the respite centre under special administrations under Division 487 of the Corporations (Aboriginal and Torres Strait Islander) Act 2006.
"If I do this, your corporation will be run by a special administrator appointer by the Registrar," she wrote.
"That person will have a broad range of powers over the affairs of your corporation."