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Wednesday, 9 October 1996
Page: 3842

(Question No. 113)


Senator Stott Despoja asked the Minister representing the Minister for Transport and Regional Development, upon notice, on 27 June 1996:

With reference to the inquiry established by the Minister into the Australian National and National Rail, the findings of which are contained in the Brew Report presented to the Minister on 19 June 1996, and the announcement on 20 June 1996 by the board of National Rail that the contract of the managing director, Mr Vince Graham, had been extended a further 5 years:

(1) When was the Minister advised of the decision to reappoint Mr Graham.

(2) Is it considered unusual for the board to make this appointment before the Minister was able to consider the report handed down only the day before.

(3) What would be the cost to National Rail if, due to the recommendations of the Brew Report, it was found beneficial to change the management structure at National Rail.


Senator Alston —The Minister for Transport and Regional Development has provided the following answer to the honourable senator's question:

(1) 20 June 1996.

(2) National Rail (NR) is a fully commercial organisation, incorporated in the Australian Capital Territory and subject to the full range of business law. The Commonwealth is one of three shareholders. Under NR's Articles of Association the appointment or reappointment of the Managing Director is a matter for the Board. I am advised that the Board decided to retain Mr Graham on 22 March 1996.

(3) The details of the contract under which the Managing Director is employed is a confidential matter for the Managing Director and the Board.