ABC board chaos at leak, The Australian, 17 June, 2004

ABC board chaos at leak: [3 All-round Metro Edition]

Sally Jackson, John StapletonThe Australian [Canberra, A.C.T] 17 June 2004: 15.
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According to Media Watch, the monitoring came about as a result of a “chance” meeting three months ago at Parliament House between [Maurice Newman] and David Quilty, [Richard Alston]’s former adviser. Media Watch says that Quilty suggested the monitoring to Newman, who put the proposal to the board, which directed ABC managing director Russell Balding to implement it.
The program also made public a May 6 email it had obtained that was sent to the ABC board members by staff-elected director Ramona Koval. In it she condemns Rehame’s hiring as “serious, improper and continuing political interference in the processes of the ABC board and the editorial policies of thecorporation”.
In his resignation letter, Newman cites “the recent gross breach of boardroom confidentiality on the issue of independent monitoring of ABC broadcasts” as the reason for his departure. He also gives a pointed hint that the person he blames for the leak is Koval, writing that “the inability to secure the agreement of the staff- elected director to the board’s governance protocols, leaves open the potential for further leaking of boardroom deliberations and papers”.

THAT the long hunt for political bias at the ABC has at last claimed a scalp is not surprising — except that it belongs to director Maurice Newman.
It was announced yesterday that Newman, who is also chairman of the Australian Stock Exchange and considered to be a friend of Prime Minister JohnHoward, has quit his board post after details of his plan to have the ABC programs monitored for bias was leaked — to one of those very programs, Media Watch.
The public broadcaster has been under pressure over allegations of bias since May last year, when former communications minister Richard Alston complained about the AM radio program’s coverage of the Iraq war.
Alston compiled a dossier detailing 68 examples of alleged anti- American bias in AM’s reporting. An internal ABC review in July that year upheld just two. However, three months later an independent complaints review panel overruled it, and upheld 17. Alston then appealed to the Australian Broadcasting Authority, which is continuing its inquiry.
After more than seven years, Alston stepped down as communications minister last October, and has since resigned from Parliament. But it seems his determination to keep an eye on the ABC has lingered.
On May 17, Media Watch revealed that Rehame had been hired to, as the tender document put it, “provide an independent audit of [theABC‘s output leading to the 2004 federal election”. Specifically, it was to assess whether the broadcaster’s political coverage was “favourable, neutral or unfavourable to the political parties and/ or candidates being reported”.
Rehame started its monitoring on federal budget night, May 11, at a cost that some reports have put as high as $200,000.
According to Media Watch, the monitoring came about as a result of a “chance” meeting three months ago at Parliament House between Newman and David Quilty, Alston’s former adviser. Media Watch says that Quilty suggested the monitoring to Newman, who put the proposal to the board, which directed ABCmanaging director Russell Balding to implement it.
The program also made public a May 6 email it had obtained that was sent to the ABC board members by staff-elected director Ramona Koval. In it she condemns Rehame’s hiring as “serious, improper and continuing political interference in the processes of the ABC board and the editorial policies of thecorporation”.
In his resignation letter, Newman cites “the recent gross breach of boardroom confidentiality on the issue of independent monitoring of ABC broadcasts” as the reason for his departure. He also gives a pointed hint that the person he blames for the leak is Koval, writing that “the inability to secure the agreement of the staff- elected director to the board’s governance protocols, leaves open the potential for further leaking of boardroom deliberations and papers”.
That not-too-subtle condemnation has put immense pressure on Koval. Last night she showed her media-handling experience by sticking to a prepared statement, refusing to deviate from her script by taking questions.
“I wish Maurice Newman well and I have enjoyed working with him,” she said. “I stand by my recent letter raising concerns about political pressure and interference with the ABC board … I have acted properly and will continue to do so in the future.”
“On legal advice, I was unable to agree with a code of conduct that was presented to me on the ABC board, as it would have been inconsistent with my legal obligations as an independent director to act in good faith and in the best interests of the corporation.”
At his home in Sydney’s harbourside Balmoral last night, Newman said he was greatly saddened to be leaving the ABC. “It is a choc-a- block full of talent,” he told The Australian. But “the serious lapse of boardroom confidentially has the potential to destabilise the corporation”.
“It is essentially an issue of whether you can continue on a board where information leaks and the trust, respect and confidence you should have on a board has been lost.”
Mr Newman had no bitterness towards the ABC or towards its elected representative, but “she has not been prepared to sign up to the board protocol”.
Communications Minister Daryl Williams last night said the Government regretted the loss of Mr Newman and added: “The Government regards any concerns about the observance of governance standards by directors to be a matter for the ABC board.
“However the matters raised have serious implications for the functioning of the ABC board and I am seeking advice from the board as to how those concerns will be addressed.”
CLASH OF CULTURE
“You may be aware of the recent gross breach of boardroom confidentiality on the issue of independent monitoring of ABC broadcasts. This, and the inability to secure the agreement of the staff-elected director to the board’s governance protocols, leaves open the potential for further leaking of boardroom deliberations and papers, should they be judged to be of concern.
This will seriously undermine trust and respect among directors and the capacity of the board to function effectively.”
Resignation letter from ABC board member Maurice Newman to Communications Minister Daryl Williams, released yesterday
“I wish Maurice Newman well and I have enjoyed working with him. I stand by my recent letter raising concerns about political pressure and interference with theABC board … I have acted properly and will continue to do so in the future.”