Fed:Costello accuses Latham of being dishonest about council

AAP General News (Australia)
08-01-2004
Fed:Costello accuses Latham of being dishonest about council

CANBERRA, Aug 1 AAP - Treasurer Peter Costello today accused Opposition Leader Mark
Latham of being dishonest in his explanations of Liverpool Council's financial problems.

An inquiry into the Oasis development in Liverpool last week found the south western
Sydney council had a $15.4 million deficit in the mid-1990s and a debt service ratio of
about 12 per cent, due to the decisions made when Mr Latham was mayor.

But Mr Latham has claimed that during his time as mayor, from 1991 to 1994, the council's
debt-servicing ratio dropped to 10 per cent from 17 per cent, proving his prudent financial
management.

Mr Costello said Mr Latham's explanations to parliament so far of Liverpool Council's
finances had been inadequate.

Asked if he believed Mr Latham had misled parliament, Mr Costello told the Nine Network:
"Well it would be one thing if he came out and said `yes, alright, well there's my record,
I admit that it was in deficit, but I'll tell you why that was responsible'.

"But he's not chosen that course. He's chosen to go into the parliament and to say
that wasn't the case - that he left it with a surplus.

"Now, if he's right, the audited accounts are wrong, the auditor is wrong, the documents
which have come to light are wrong, and he presumably has a very good explanation.

"But, it's not one we've heard. It's quite likely, I think, that the audited accounts
are right ... the documents are right and Mr Latham has not been honest with his explanation
in the parliament."

The government has targeted Mr Latham's time as mayor of the south western Sydney council
to attack his ability to properly manage the Australian economy.

Mr Costello said that Mr Latham had worked all his life in politics and when he was
mayor of Liverpool he botched the council's finances.

"He has claimed in the parliament that he didn't leave it in deficit," Mr Costello said.

"Now, either the audited accounts are wrong and he's right, or the audited accounts
are right and he has not been honest with the parliament."

AAP bt/cdh/jlw

KEYWORD: LATHAM COSTELLO

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