Qld govt not rushing into payroll inquiry

2 Nov 2012, 5:37 pm   -   Source: AAP

The Queensland government will hold off on a decision to hold an inquiry into the payroll disaster, despite fresh claims from a whistleblower.

Accusations of collusion to ensure IBM won the contract for the disastrous Queensland Health payroll system won't force the state government into committing to an inquiry.

A whistleblower has gone public on Friday with claims consultants colluded with the former Queensland government's IT provider to ensure IBM won the contract for the health payroll system, which rolled out in 2010.

The payroll system has so far led to more than 50,000 staff being overpaid more than $90 million.

Premier Campbell Newman and Health Minister Lawrence Springborg both said despite the fresh allegations, cabinet would hold off on a decision to hold an inquiry.

They'll wait until the crown solicitor finishes trawling through 830 pages of secret cabinet documents from the former government, which were released on Wednesday.

The documents say the Bligh Labor government had a strong legal case to sue IBM for installing the failed system, but preferred to negotiate a settlement, amid concerns the government's own processes wouldn't withstand scrutiny.

Mr Springborg said the whistleblower "heightens suspicion" that something went terribly wrong.

"It's not only the legal advice ... that paints a very interesting picture, but I think that the way in which the decisions were made around the new payroll system in Queensland is even more interesting," Mr Springborg said.

Mr Newman said if the government believed that the only way to get to the bottom of it was to hold an inquiry, then that's what the government would do.

"The bottom line here is that is if it's at all possible to recover money for the people of Queensland, because someone did the wrong thing ... we will do that, but we have to have some time to look at the documents released."

The whistleblower said there was collusion, driven by vested interests, between consultants hired to work on the project and the Bligh government's internal IT provider, CorpTech, to give IBM an advantage to win the contract.

She says critical information was withheld from competitors, but fed to IBM, which had strong relationships with some of the consultants working on the project.

The woman, who has not been named, said she worked on the project and its failure was set in stone as far back as 2007.

The ABC said it had verified the whistleblower's credentials and she was well placed to comment on how the process was managed.

The woman told the ABC she would be willing to give evidence to a commission of inquiry.

Robert Schwarten, minister for public works and information and communications technology in the Bligh government, said it was the first he's heard of questions about the integrity of how the contract was awarded.

He said the contract was not negotiated by cabinet, or signed by any minister, and questions should be directed to Gerard Bradley, who was under-treasurer at the time and signed the contract.

"(He) is the only one who can help," Mr Schwarten said.

He said Mr Bradley has since been redeployed by the Newman government to be head of Queensland Treasury Corporation.

"I suggest you check with the current treasurer to see if he will compel Mr Bradley to answer your questions, as he has sat back and let the politicians take the heat for the failure of his contract."

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