The upshot, doubtless involving costly lawyers, was Kiwibank being fined $1.5 million.
The prosecution related to Kiwibank’s computer cock-ups resulting in some customers being overcharged.
This was a classic case of spending other people’s money in which common sense went out the window. What possible purpose was served by the government prosecuting one of its own entities, paying the fine and then via another of its agencies, receiving it at an all-up probable cost in staff wages through the process, wasting perhaps at least $1m?
Were all of the dozens of people involved bloody stupid? Probably, yes.
What should have happened? Having discovered overpayments, the Commerce Commission should have advised Kiwibank which could then have made the refunds and corrected their computer systems.
All of this spell-binding stupidity points up why the government should stay out of commercial activities. Kiwibank should be floated as a public company pronto.
Sir Bob Jones is a renowned author, columnist , property investor, and former politician, who blogs at No Punches Pulled HERE - where this article was sourced.
This was a classic case of spending other people’s money in which common sense went out the window. What possible purpose was served by the government prosecuting one of its own entities, paying the fine and then via another of its agencies, receiving it at an all-up probable cost in staff wages through the process, wasting perhaps at least $1m?
Were all of the dozens of people involved bloody stupid? Probably, yes.
What should have happened? Having discovered overpayments, the Commerce Commission should have advised Kiwibank which could then have made the refunds and corrected their computer systems.
All of this spell-binding stupidity points up why the government should stay out of commercial activities. Kiwibank should be floated as a public company pronto.
Sir Bob Jones is a renowned author, columnist , property investor, and former politician, who blogs at No Punches Pulled HERE - where this article was sourced.
2 comments:
Sir Robert, please keep in mind our " current Govt. has a fiscal hole, created by an Academic, who was a MMP/MP (not voted to sit in Parliament, but gained his seat via the MMP Listing [similar to another 'person who had worked the 9th floor'] , for Labour) who had not knowledge of fiscal management but is on record of ' spending up large' for which Ms. Willis now needs to reduce that debt.
What concerns me, is how dear Jim Anderton is ' handling this momentous stupidity ' in the Bank he established. Knowing how ' left & green Kiwi Bank have become ', it is a miracle that they have any customers at all!
The banks are now lining up to prove how ‘ethical’ they are, as demonstrated by their commitment by refusing business loans to fossil fuel stations. Why? Because their wares are causing climate change, apparently. Banks taking a ‘moral’ stance…I never imagined I’d live to witness it.
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